Marketing Chapter 8
What product layer might include a warranty, credit, delivery, installation, and repair service after the sale because marketers know that adding these supporting features to a product is an effective way for a company to stand out from the crowd?
Augmented product
What refers to a consumer product that is usually low-priced, widely available, and purchased frequently with a minimum of comparison and effort?
Convenience product
Which of the following refers to a product innovation that requires consumers to learn a great deal to be able to effectively use the product because no similar product has ever been on the market?
Discontinuous innovation
What refers to the products an organization uses in its daily operations, such as the robotics Ford uses to assemble automobiles?
Equipment
In the adoption pyramid, what stage refers to when consumers weight the costs and benefits of the new product?
Evaluation
Who are the Innovators within the Adopters?
Extremely adventurous and well-educated individuals
Which of the following is a question a firm would ask when evaluating the firm's strategy on an innovation scorecard?
How aware are organization members of the firm's goals for innovation?
Value co-creation occurs in what phase of the new production development process?
Idea generation
What is Attributes of a product?
Include features, functions, benefits, uses of a product, as well as its brand and packaging
Who are the Early Majority within the Adopters?
Middle class; deliberate and cautious
Who are the Late Majority within the Adopters?
Older and conservative
What refers to products that organizational customers purchase to use in their finished products?
Raw materials
What is product adoption?
a consumer or business customer begins to buy and use a new good, service, or idea
What is a continuous innovation?
a modification to an existing product
What is a knockoff?
a new product that copies with slight modification, the design of an original product
What is an adoption pyramid?
a series of stages by which a consumer might adopt a NEW product or service
what is observability?
ability to see the new product and the benefits it provides
what is an innovation for marketers?
anything customers perceive as new or different. may be a minor or game changing alteration
what is the actual product?
appearance/quality of product
In the adoption pyramid, which step involves mass media?
awareness
What is a core product?
basic benefits
What is a staple product?
basic or necessary items that are available almost everywhere and most consumers don't perceive big differences among brands
Marketers estimate technical success when they decide whether a new product is technologically feasible and a(n) _____ success when they decide whether anyone is likely to buy the product.
commercial
Which of the following is the phase in the new product development process in which companies launch a new product, and it requires full-scale production, distribution, advertising, and sales promotion?
commercialization
Who are the Early Adopters within the Adopters?
concerned about social acceptance and media users
What is complexity?
consumers perceive a new product as difficult to understand and use
what is one of the most talked about forms of dynamically continuous innovation?
convergence
What are the three distinct "layers" that marketers distinguish of a product?
core product, actual product, and augmented product
what is the Augmented product?
customer support services/product-use instruction
What is the three types of innovation?
dynamically continuous, discontinuous, and continuous
What are unsought products?
goods and services for which a consumer has little awareness or interest until a need arises.
what is a dynamically continuous innovation?
is a pronounced modification to an existing product
What is relative advantage?
is the degree to which a consumer perceives a new product as offering superior benefits
what is compatibility?
is the extent to which an innovation is consistent with existing cultural values, customs, practices, and norms
Who are the Laggards within the Adopters?
lower education and income
What phase of the new product development process involves identifying the target market, estimating its size, and determining how the company can effectively position the product to address the target market's needs?
market strategy development
What is trialability?
refers to the ease of sampling a new product and its benefits
What does R&D stand for?
research and development
Tablet computers are an example of a(n) ________ because the consumer spends considerable time and effort gathering information and comparing alternatives before making a purchase.
shopping product
At what phase of the new product development process is a firm likely to create a prototype of the product?
technical development
What is convergence?
the coming together of two or more technologies to create a new system
what is a discontinuous innovation?
the product must create major change in the way people live
What is diffusion?
the use of a product or innovation spreads throughout a population
