NPD Exam #1 (Chapter 1-5)

Identify the new products process where, through interaction with customers, designers are inspired to probe, experiment, and improvise, and as a result, may come up with a successful new-to-the-world product. A. Probe-and-learn B. Consumer analysis C. Mind sharing D. Concept redefining

A

Identify the section of the product innovation charter (PIC) which recaps the analysis behind the preparation of the charter. A. Background B. Focus C. Goals-objectives D. Guidelines

A

In the context of new product arena, focus is generally achieved by the use of four types of strengths or leverage capabilities. Which of the following is one of those strengths? A. End-use experience B. Employee skills C. Market capitalization of the organization D. Ownership of a scarce resource

A

Many futurists advocate studying the emerging trends in society and deriving product opportunities from them. A team of experts from the consulting firm Social Technologies identified six important and provocative modern trends. One of these trends is "The transparent self." Which of the following observations is primarily associated with this trend? A. There is more information about consumers available to product managers now than ever before. B. People like making spur-of-the-moment decisions based on real-time information. C. People can sense their environment better now than ever before; what might be "too much information" for some might be essential information for others. D. As more people become accustomed to virtual spaces, the boundary between these and the real world will become increasingly blurred

A

Reinforay, an aircraft manufacturer, makes passenger, cargo, short-haul, and long-haul aircraft from the same design, with many shared components. Reinforay is using a _____. A. product platform B. brand platform C. channel platform D. category platform

A

Which of the following is a variation on the single-customer focus where each customer is offered a product of his or her individual choice? A. Mass customization B. Mass production C. Mass standardization D. Mass advertising

A

Which of the following is true of product planning? A. If customers differ in their preferences, firms will often resort to a platform strategy. B. Firms that take a domestic approach to new products, on average, do better than those that develop products for multinational markets. C. If customer needs are very different; one way is to sell a global product that does not scale economies. D. Firms adopt a "global" strategy to use several platforms to provide a single product across multinational markets.

A

Which of the following is true of the batch concept? A. It is the first full test-of-fit with manufacturing. B. It is a form or a technology, plus a clear statement of benefit. C. It is a tentative physical product. D. It is a concept that passes the test of fit with a company's situation.

A. It is the first full test-of-fit with manufacturing

Zooky Inc. is a well-known manufacturer of bubble gums, candies, chewing gums, and edible breath strips. The company recently introduced a new range of sugar-free, antibacterial chewing gum. Zooky's new product can be best described as a(n): A. line extension. B. new-to-the-firm product. C. new-to-the-world product. D. repositioned product.

A. Line extension

The _____ test is a critical step which for the first time tests the feasibility and success of the marketing program and the product together. A. market B. benefits C. concept D. utility

A. Market

According to the latest Comparative Performance Assessment Study (CPAS), in comparison to the Rest, Best companies are: A. more likely to use tradeoff analysis. B. less likely to rely on portfolio analysis for product selection. C. more likely to employ informal processes for selecting which concepts to develop. D. less likely to rely on online communities for information gathering.

A. More likely to use tradeoff analysis

Products that are inventions and create a whole new market are called: A. new-to-the-world products. B. new-to-the-firm products. C. "flanker" brands. D. improvised products.

A. New-to-the-world products

An example of an internal mandate is the ____, which tends to increase the discrepancy between a firm's current sales and the target sales established during long-range planning. A. product innovation gap B. quality gap C. assessment gap D. performance gap

A. Product innovation gap

In the context of the development phase of the new products process, a _____ is best described as a tentative physical product or system procedure. A. prototype concept B. tested concept C. fully screened concept D. stated concept

A. Prototype concept

A famous fast-food joint is offering all its regular customers a product of their individual choice through the program, "Have It Your Way". This is an example of: A. mass production. B. mass customization. C. mass standardization. D. mass advertising.

B

A manufacturer of ice creams introduces a new mint and lime flavored ice cream. According to the product/market matrix, the amount of innovativeness risk that the firm brings with this new flavor would be _____. A. high B. low C. medium D. dangerous

B

A platform procedure that uses top-down mechanisms is intended to: A. allow for less sharing of components within a platform. B. become the basis for a family of products, possibly for years into the future. C. generally increase the cost of the products as and when demand increases. D. consolidate components within an existing family of products to gain scale economies.

B

Exploring technology and market drivers separately, then seeing their value when taken in combination is often called the _____. A. primary-secondary measure B. dual-drive idea C. goals-objective metric D. supply-demand ratio

B

Identify the situation associated with the greatest amount of innovativeness risk. A. Moderate changes in operations/marketing and major changes in consumer use behavior B. Major changes in both operations/marketing and consumer use behavior C. Major changes in consumer use behavior and moderate changes in operations/marketing D. No change in operations/marketing and major changes in consumer use behavior

B

In an attempt to allow for more sharing of components, Designethic, redesigns its power tool groups into specific product families, allowing for more sharing of components. This best exemplifies a _____. A. multiple platform procedure B. bottom-up platform system C. global product platform D. mindshare platform procedure

B

In the context of the new products process, which of the following best defines a full screen? A. It refers to unsolicited ideas for concept generation that pour in through spam mails. B. It refers to the formal type of evaluation where all views are evaluated using a scoring model. C. It refers to a set of ideation tools that can be used to generate new concepts. D. It refers to a comprehensive business analysis that is conducted before idea generation

B

In the new products process, a cross functional team: A. only includes members of the top management. B. seeks to eliminate "over-the-wall" product development. C. discounts parallel processing. D. starts working on the project only in the later phases of the process.

B

Many futurists advocate studying the emerging trends in society and deriving product opportunities from them. A team of experts from the consulting firm Social Technologies identified six important and provocative modern trends. Which of these trends is most likely to influence consumers to make spur-of-the-moment decisions? A. Co-creation B. Just-in-Time Life C. Sensing Consumers D. The Transparent Self

B

One of the dimensions used by the bothersomeness technique for ranking and sorting problems according to their severity or importance is the _____. A. cost of resolving the problem B. frequency of the problem C. time required to resolve the problem D. complexity of the problem

B

Which of the following statements is true of a product innovation charter (PIC)? A. It is typically prepared by middle-level managers. B. It is designed to provide guidance to the business units on the role of innovation. C. It reminds us that the new product strategy is primarily for processes and other activities. D. It can be thought of as a kind of vision statement that is applied at macro level.

B

Which of the following, if implemented, will most likely ensure that the product innovation charter (PIC) is effective? A. A PIC strategized toward processes rather than products B. A PIC prepared by senior management to define the role and scope of innovation C. A PIC developed exclusively by specific teams rather than cross-functional teams D. A PIC that is relatively different from a mission statement

B

With reference to product development, a _____ is defined as a set of systems and interfaces that form a common structure. A. product portfolio B. product platform C. product module D. product pool

B

In the context of opportunity identification and selection, DuPont's discovery of Surlyn, a material with hundreds of potential uses, would fall under which of the following categories? A. An underutilized resource B. A new resource C. An external mandate D. An internal mandate

B. A new resource

Which of the following statements is true of new product categories? A. New product categories do not differ with regard to their associated risks and uncertainties. B. All new product categories are not necessarily innovations. C. Additions or revisions to existing product lines do not fall under the domain of new product categories. D. The least innovative category of new products is product repositionings.

B. All new product categories are not neccessarily innovations

Early, non-functional versions of proposed new products, called ____, are often provided to allow consumers to try and comment on innovative offerings. A. product props B. focused prototypes C. product models D. batch concepts

B. Focused prototypes

Ace Corporation is a manufacturer of powder and liquid dishwashing detergents. Owing to popular demand, the company introduces a single-load, scented, gel detergent encased in water-soluble bags designed to fit dishwasher detergent trays. The firm's new product is best described as a(n): A. new-to-the-world product. B. line extension. C. repositioned product. D. improvised product.

B. Line extension

A "me-too" product is most likely a: A. new-to-the-world product. B. new-to-the-firm product. C. repositioned product. D. reduced cost product.

B. New-to-the-firm product

Designethic Co. is known for selling cards, gift-wrapping materials, and collectibles. In a bid to compete with its counterparts, Designethic added fresh-cut flower arrangements to its range of product offerings in the year 2015. Into which of the following new product categories would the floral arrangements fall? A. New-to-the-world products B. New-to-the-firm products C. Line extensions D. Repositionings

B. New-to-the-firm products

Luminos Co., a popular manufacturer of kitchen appliances, decides to enter the manufacturing sector of crockery and dinnerware. It markets a line of dinnerware, Illuminia, for the first time in its history. Its dinnerware will most likely fall into which of the following new product categories? A. New-to-the-world products B. New-to-the-firm products C. Line extensions D. Product improvements

B. New-to-the-firm products

Which of the following categories of new products would present higher risks and uncertainties as well as associated costs of development and launch? A. Line extensions B. New-to-the-world products C. Improvised products D. Repositionings

B. New-to-the-world products

Which of the following products define wholly new product categories and are most likely to require consumer learning or incorporate a very new technology? A. Improvised products B. New-to-the-world products C. New-to-the-firm products D. Repositionings

B. New-to-the-world products

In the _____ phase of the new products process, opportunities are carefully and thoroughly described, then analyzed to confirm that a sales potential does, indeed, exist. A. concept generation B. opportunity identification and selection C. concept or project evaluation D. development

B. Opportunity identification and selection

Which of the following is the first phase in the basic new products process? A. Concept ideation and generation B. Opportunity identification and selection C. Project evaluation D. Product development

B. Opportunity identification and selection

Services and goods are often arrayed on a scale which ranges from pure service to pure good. Where does an insurance policy stand on this scale? A. Pure service B. Primarily service and partly a good C. Primarily a good and partly service D. Pure good

B. Primarily service and partly a good

The job of a _____ in the field of new product management is to help project managers develop and use good new product processes. A. team executive B. process manager C. functional representative D. technical specialist

B. Process manager

_____ helps a firm assess which new products would be the best additions to existing product lines, given both financial and strategic objectives. A. A product finances charter B. Product portfolio management C. A product assessment matrix D. Product value-add assessment

B. Product portfolio management

Project evaluation involves preparing a statement of what is wanted from the new product, and this statement is called the: A. product concept. B. product protocol. C. product prototype. D. product innovation charter.

B. Product protocol

New-to-the-firm products are: A. inventions that create a whole new market. B. products that take a firm into a category new to it. C. products that are new to the world, but are not new to the firm. D. products that are retargeted for a new use or application.

B. Products that take a firm into a category new to it

Well-known business writer, Gary Hamel, has described _____ as "the most important business issue of our time." A. product distribution B. the creation of radical innovation C. advertising and marketing of services D. product line extensions

B. The creation of radical innovation

Identify the phase in the new product development process during which the item first acquires finite form. A. The concept generation phase B. The development phase C. The launch phase D. The concept or project evaluation phase

B. The development phase

The development phase of the new product process involves the development of: A. new product suggestions. B. the marketing plan. C. the product innovation charter. D. the product financing plan.

B. The marketing plan

Which of the following statements is true of the importance of new products? A. The failure rate for new products is estimated to be around 90 percent. B. The new products process is exceedingly difficult. C. Radical innovation is detrimental to the survival of a firm. D. All the individuals involved in the creation of a new product generally belong to the same department.

B. The new produts process is excceedingly difficult

The problem of scope creep faced by a new product team in an organization is most likely to occur when: A. employees in the organization are not aware of the PIC. B. the PIC is not given to all the members of the new product team in the form of a written document. C. the definition of the project constantly keeps changing. D. the senior management is not involved in the implementation of the PIC.

C

The procedure of converting technical specifications, to product features and benefits, to market needs is called the _____. A. dual-drive strategy B. just-in-time strategy C. T-P-M linkage D. customer franchise

C

The value of an established brand is called its _____. A. brand mark B. brand identity C. brand equity D. brand recognition

C

Which of the following best describes the process of modularization? A. It involves identifying similar platforms that share similar features. B. It involves pooling in several functional areas into a single unit. C. It involves decomposing complex systems into subsystems. D. It involves generating complex systems from simpler systems.

C

Which of the following is most likely to be an advantage of a product platform? A. It increases brand awareness. B. It increases the market capitalization of the organization. C. It offers cost efficiencies. D. It improves the quality of the product.

C

With regard to the concept or project evaluation phase of the new product process, a prototype concept is best described as a: A. company skill or resource, or a customer problem. B. form or a technology, plus a clear statement of benefit. C. tentative physical product or system procedure, including features and benefits. D. product definition that includes the intended market user, the problem perceived, and the benefits that the new product would have to have.

C

_____ is a way of executing a first-to-market strategy. A. State-of-the-art breakthrough B. Mass production C. Mass customization D. Adaptive applications

C

Which of the following is a reason for product failure in a firm? A. Resorting to radical innovation with the new products process B. Avoiding the use of the ready—fire—aim approach in the product development process C. Chasing a moving target D. Paying too much attention to customer needs

C. Chasing a moving target

When evaluating a new product proposal, a(n) _____ is used to see what potential consumers think about the idea. A. utility test B. feasibility analysis C. concept test D. construct validity analysis

C. Concept test

Which of the following firms will have the most effective worldwide new product programs? A. Firms that have implemented total quality management B. Firms that use quality circles C. Firms that follow a global innovation culture D. Firms that are leaders in their respective industries

C. Firms that follow a global innovation culture

Which of the following is associated with the concept or project evaluation phase of the new products process? A. Idea concept B. Prototype concept C. Fully screened concept D. Stated concept

C. Fully screened concept

Identify the term used to describe the iterative process where the developing team develops prototypes from dozens of different new product ideas, eventually settling on a prototype that customers like. A. Focused prototype method B. Prototype analysis C. Lickety-stick D. Concept improvisation

C. Lickety-stick

Brew & More, a popular beverage manufacturer, produces and sells a popular mint flavored drink called Mintz. A new competitor enters the market and offers a similar mint-based drink that's suited for consumers on diet. This company offers its products at a much lower price. Brew & More calls for a line extension to meet the encroachment of its new competitor in its annual marketing plan. Identify the stream of activity that feeds strategic planning for new products in this scenario. A. Special opportunity analysis B. Ongoing corporate planning C. Ongoing marketing planning D. Distribution channel planning

C. Ongoing marketing planning

Both market value and clarity are lowest for a(n): A. protocol concept. B. idea concept. C. opportunity concept. D. stated concept.

C. Opportunity concept

The _____ comes into play once an opportunity is approved, and managers turn to various techniques to guide new product people in exploiting it. A. Concept Novelty Copyright (CNC) B. Product Development Mandate (PMC) C. Product Innovation Charter (PIC) D. Concept Ideation Rule (CIR)

C. Product Innovation Charter (PIC)

A _____ assumes a leadership role that oversees a team of people representing various functional departments. A. functional representative B. process manager C. project manager D. marketing researcher

C. Project manager

In the context of the concept or project evaluation phase of the new products process, a _____ is a product definition that includes the intended market user, the problem perceived, the benefits the new product would have to have, plus any mandatory features. A. screening concept B. process concept C. protocol concept D. pilot concept

C. Protocol concept

_____ refer to those products that are retargeted for a new use or application. A. "Flanker" brands B. Line extensions C. Repositionings D. New-to-the-world products

C. Repositionings

In which of the following phases of the new products process does market testing take place? A. The opportunity identification and selection phase B. The concept generation phase C. The launch phase D. The concept or project evaluation phas

C. The launch phase

Digicon Inc. is a firm with mindshare in the category of digital cameras. With reference to this information, which of the following statements is true regarding the firm? A. The digital cameras manufactured by the firm are the cheapest in the market. B. The firm offers the widest range of digital cameras. C. The marketing plan employed by the firm is the best in the industry. D. The digital cameras manufactured by the firm are seen as the standard for competitors to match.

D

The best new product ideas are based on _____, which serve as the heart of the concept generation process. A. channel desires B. manufacturing efficiencies C. profit goals D. customer problems

D

The concept evaluation phase of the new product process involves: A. collecting and generating new product concepts that fit an opportunity. B. preparing strategy, tactics, and launch details for the marketing plan. C. specifying the entire development process and its deliverables. D. assessing new product concepts on technical, marketing, and financial criteria.

D

_____ are widely used and tend to be billion-dollar assets personally driven by CEOs. A. Channel platforms B. Category platforms C. Product platforms D. Brand platforms

D

In which of the following phases of the new products process is the first full test-of-fit with manufacturing made? A. The launch phase B. The opportunity identification phase C. The concept generation phase D. The development phase

D. The development phase

_____ is a technique that uses the extent of the problem and the frequency of its occurrence for sorting and ranking problems according to their severity. A. Brainsketching B. Brainstorming C. Crowdsourcing D. Bothersomeness

D

Which of the following statements is true regarding invention? A. An invention is usually patentable. B. To managers, invention is a dimension of complexity. C. There are far more innovations than inventions. D. An invention refers to the overall process whereby an innovation is transformed into a commercial product.

A. An invention is usually patentable

The term "platform" was initially associated with the _____ industry. A. packaged food B. consumer electronic C. automobiles D. computer

C

Which of the following is an evaluation task in the concept generation phase of the new products process? A. Deciding which direction to take B. Preparing progress reports C. Reviewing market testing D. Conducting an initial review

D. Conductiing an intitial review

Designing and validating the production process for the best prototype takes place during the _____ phase of the new products process. A. launch B. concept generation C. project evaluation D. development

D. Development

When a current product of a company has been enhanced to better serve consumer needs, the product will fall into the new product category of _____. A. new-to-the-world products B. repositionings C. line extensions D. product improvements

D. Product improvements

A new product: A. when launched is still in a tentative form. B. if successful can be termed a concept. C. comes into being the moment its prototype is ready. D. comes into being the moment its potential benefits are identified.

A

By definition, new product teams are _____, which means a greater variety of perspectives but also potential difficulties in reaching a solution acceptable to all. A. cross-functional B. monopolistic C. highly bureaucratic D. iconoclastic

A

Coinstar Inc.'s primary objective is to seek innovation. In an attempt to ensure that its creativity groups actually work on problems instead of merely discussing them, the company creates an assembly of functional specialists from all relevant fields and charges them with the task of discussing the problem at hand. Which of the following best describes this assemblage of experts? A. Disciplines panel B. Focus group C. Observation team D. Dynamic study group

A

Creative persons: A. tend to benefit from training. B. tend to be more judging and less perceiving than other individuals. C. tend to be less extraverted than other individuals. D. tend to mostly think reproductively.

A

Identify the correct statement with regard to end users as a source of ready-made new product concepts. A. They are most likely to generate modest product improvements rather than new-to-theworld products. B. A typical end-user is more likely to come up with ideas that are easily developed into real products. C. The role of an end user is independent of the industry and does not vary across industries. D. A customer-designed product cannot be directly transferred to manufacturing or production.

A

In the context of obtaining product ideas, open idea solicitation is known as: A. crowdsourcing. B. skimming. C. market penetration. D. shoulder surfing

A

Most of the ideas offered by consumers in the form of crowdsourcing would be best characterized as: A. product improvements. B. inventions. C. new-to-the-world products. D. innovations.

A

The MBTI Creativity Index uses an individual's _____ to assess his or her creativity. A. personality scores B. general knowledge C. numerical ability D. intelligence quotient

A

The practice of citing the advantages of a proposed idea before addressing the shortcomings in a "positive manner" is called: A. itemized response. B. velvet-gloving. C. accentuating the positive. D. soft-soaping.

A

Tweaking existing technology in a new way is usually called _____. A. leveraged creativity B. state-of-the-art breakthrough C. applications engineering D. product adaptation

A

Which of the following inputs, in the case of a service, required by the creation process can be best described as the sequence of steps by which the service will be created? A. Form B. Technology C. Benefit D. Conceptualization

A

Which of the following is the most common source for the needs and problems of stakeholders? A. Internal records B. Problem analysis C. Scenario analysis D. Direct inputs from marketing departments

A

Which of the following is true of scenario analysis? A. It helps in formulating a solution for a future problem. B. It is primarily used to solve current problems with existing products in the market. C. It focuses on the problems that competitors are aware of. D. It primarily involves watching customers using products in their own environments.

A

Which of the following statements is true of a focus group? A. A focus group is designed to yield an exploratory and depth-probing type of discussion. B. A focus group is often very difficult to set up and is the most expensive method of gathering information. C. A focus group makes it difficult for a person to talk about his or her problems when others in the group have already admitted they have problems too. D. A focus group, unlike the traditional survey, depends on the power of numbers rather than in-depth discussions.

A

Which of the following techniques encourages the use of "art" through drawing to facilitate finding connections between ideas? A. Brainsketching B. Speedstorming C. Role playing D. Interviewing

A

With reference to scenario analysis, in _____ studies, the focus is on what changes must be made between now and then if the leap scenario is to come about. A. dynamic leap B. exploratory C. product function D. static leap

A

In which of the following phases of the new products process is the first formal type of assessment done on new product concepts with regard to financial, technical, and marketing criteria? A. Concept or project evaluation phase B. Product development phase C. Product launch phase D. Concept generation phase

A. Concept or project evaluation phase

Which of the following is considered to be the most innovative category of new products? A. Cost-reduced products B. New-to-the-firm products C. New-to-the-world products D. Line extensions

A. Cost-reduced products

In the new products process, after evaluating an idea, various views on the idea are combined together in what is often called the: A. full screen. B. decision window. C. product protocol. D. product prototype.

A. Full screen

A marketing researcher is most likely to serve as a _____ in a new product development team. A. functional representative B. process manager C. scientific advisor D. project leader

A. Functional representative

Rules of thumb that firms have found that work for them can be referred to as: A. heuristics. B. syntaxes. C. synergies. D. charters.

A. Heuristics

Which of the following is true of new product categories? A. If a product is new-to-the-world, the risks and uncertainties faced by the firm are higher. B. If a product is new-to-the-firm, the associated costs of development and launch tend to be lower. C. Generally, all the new product categories are innovations. D. New product categories have to be managed in a similar fashion.

A. If a product is new-to-the-world, the risks and uncertainties faced by the firm are higher

_____ refers to the overall process whereby an invention is transformed into a commercial product that can be sold profitably. A. Innovation B. Attribution C. Brainstorming D. Pricing

A. Innovation

_____ are also known as "flanker" brands. A. Line extensions B. New-to-the-world products C. Improvised products D. Repositionings

A. Line extensions

A group ideation technique put forth by Alex Osborn that involves a process where one person presents a thought, another person reacts to it, another person reacts to the reaction, and so on is called _____. A. crowdsourcing B. brainstorming C. scenario analysis D. role playing

B

A product protocol primarily describes: A. form. B. benefits. C. technology. D. potential.

B

According to the MBTI Creativity Index, creative people tend to be more: A. egocentric. B. intuitive. C. judging. D. introverted.

B

After identifying an important user problem, most problem solving should: A. not be done intuitively without a quantifiable method. B. be done by the new product group members involved in the concept generation work. C. exempt marketing people from the process as their primary task is to generate sales. D. be done on a generic scale instead of focusing on the specifics of each problem.

B

Crunchie Cereals Inc., in order to better anticipate customer needs, sent its product and marketing teams to visit the homes of those U.S. families that regularly used its products. Based on the data gathered from analyzing consumer behavior, the product managers concluded that office-going customers would like to have their cereal on the go. Keeping this in mind, Crunchie Cereals came up with a new "Crunch-on-the-go" portable package. Identify the methodology used to gather information regarding customer needs in this scenario. A. Focus groups B. Observation C. Interviewing D. Screening

B

Helium Corporation is identifying the changes it must be prepared to make in order to be competitive in the year 2020. This process involves focusing on the interim period so that it can solve the future problems and have solutions ready to market when the time comes. In this case, Helium Corporation's efforts can be best described as a(n): A. focus group study. B. dynamic leap study. C. observational study. D. static leap study.

B

Identify the activity that takes place during the phase of "preparing a firm for ideation." A. Collecting concepts from internal sources B. Establishing a nucleus for the screening stages C. Offering possible solutions D. Conducting an in-depth analysis of markets

B

One of the complicated issues a firm must manage in an open innovation policy is: A. complete outsourcing of a company's R&D. B. intellectual property protection. C. top management support. D. restrict the knowhow a company develops internally.

B

One of the real problems with using in-house people to report on customer problems is that: A. they don't know how to interact with customers and lack experience. B. each suggestion is usually someone's perception of what the customer problem is. C. they tend to focus on finding out what new products customers are looking for instead of providing a solution with each suggestion. D. they generally lack the skills and expertise required for analyzing customer problems.

B

One of the reasons why technology-driven scientists, in most cases, actually put benefit before form and technology in the creation process is that: A. it makes finding customer problems very easy. B. they have some idea of need that is leading them in their efforts. C. an idea developed into a concept using this sequence is always successful. D. the production cycle using this sequence is much shorter.

B

Rex is the general manager of the New Way Hotel. Whenever an employee comes up to Rex with a new idea, he listens patiently, cites all of the advantages of the new idea and then addresses the negatives, but only in a constructive mode. Identify the technique being used by Rex to encourage creativity. A. Accentuating the positive B. Itemized response C. Creative abrasion D. Social cohesion

B

Role playing: A. tends to stifle creativity. B. helps unwilling product users to express their views. C. is not effective in instances where product users are unable to visualize their reactions. D. is one of the most successful techniques for generating ideas for new products.

B

The objective of a firm using open innovation is to: A. completely outsource its R&D. B. to reach out beyond its familiar research partners and to access R&D carried out globally. C. allow for inputs purely from external sources by keeping the internal sources on hold for a later point in time. D. get tolerant to some aberrations and thereby allow innovation at the cost of rule violations.

B

The phenomenon of _____ is the tendency of respondents to mention minor, but frequently encountered, problems first. A. reverse brainstorming B. omniscient proximity C. observational projection D. brainsketching

B

The practice of deliberately pairing a "blue sky" creative person with a "practical" type is called: A. competitive venturing. B. creative abrasion. C. dysfunctional creativity. D. itemized response.

B

The problem-based ideation process begins with: A. the selection of one or more problem identification techniques B. a study of the situation C. the development of concept statements for further evaluation D. The creation of a list of potential problems

B

The use of stakeholder contacts as a methodology for gathering information useful for problem analysis involves the use of: A. quality circles. B. focus groups. C. published sources. D. internal records

B

Which of the following can is an example of crowdsourcing? A. A multimedia company releases a game in the market for the first time. B. An eco-friendly apparel store, invites users to submit designs for its new range of ethnic wear on its online platform. C. A retail firm removes most of its channel partners from its supply chain to deal directly with customers. D. A toy making firm outsources its research and development to an external vendor to gain competitive advantage.

B

Which of the following is true of the problem-solving technique of brainsketching? A. In brainsketching, participants express their ideas in words instead of drawings. B. Brainsketching helps participants draw more connections with earlier ideas when coming up with new ideas. C. In brainsketching, participants pair off and discuss a topic for a three- to five-minute round. D. The technique of brainsketching cannot be used to generate new ideas.

B

Which of the following statements is true of creative people? A. They usually follow reproductive thinking rather than productive thinking. B. They tend to be creative throughout their lives and never become uncreative. C. Their creativity cannot be measured. D. They typically cannot benefit from training.

B

Which of the following techniques can be used to identify those problems that customers or end users do not know they have at present? A. The use of focus groups B. Scenario analysis C. Role playing D. Product function analysis

B

Which timing strategy is very demanding, because a firm following this strategy has to make the decision to enter the market before the innovator is successful or has even come to market? A. Slower entry B. Quick second C. First entry D. Late entry

B

_____ is defined as the process a company employs to externally search for and source research, new technologies, and products. A. T-P-M linkage B. Open innovation C. Creative abrasion D. Leveraged creativity

B

According to an assessment by the Arlington Institute, in the future, human cloning will raise ethical issues as well as the possibility of extending human life thanks to organ and tissue cloning. This high-impact, low-probability event is an example of: A. an observation. B. lateral thinking. C. a wild card. D. an itemized response.

C

Brainstorming and the group creativity techniques it spawned, tend to rely heavily upon: A. watching customers using products in their own environments. B. leaping into the future to pick a period that is then described. C. the presenting or reacting sequence that gives group creativity its meaning. D. the study of wild cards, which are high-impact and low-probability events.

C

Common complaints by end users or consumers taken as requests for new products are a direct result of _____. A. brainsketching B. reverse brainstorming C. omniscient proximity D. speedstorming

C

Concept generation must be a(n) _____ process. A. passive B. reactive C. active D. defensive

C

First-to-market products that do not involve any changes in technology, but the use is totally new primarily involve _____. A. leveraged creativity B. state-of-the-art breakthrough C. applications engineering D. product adaptation

C

_____ is defined in product innovation as the power to do work. A. Benefit B. Form C. Technology D. Potential

C

Identify the best sequence to follow during the development of a new product. A. Technology; form; benefit B. Form; technology; benefit C. Benefit; technology; form D. Technology; benefit; form

C

In the context of the sources for the needs and problems of stakeholders, which of the following is an example of internal record? A.Competitor's marketing collaterals B. a government report C. a warranty file D. Direct inputs of technical team members

C

People who solve problems in ways that have worked for them in the past are characterized by _____ thinking. A. innovative B. regressive C. reproductive D. stereotyped

C

Prior to proceeding with development of a new product, a group of technical people and intended customers will review a _____ statement to assess its potential. A. product input B. product potential C. product concept D. product process

C

Putting benefit last is very risky, since: A. it is the power to do work. B. it comprises the sequence of steps by which a service is created. C. it comprises a solution trying to find a problem. D. it requires an itemized response.

C

Teltos Inc. is seeking ways to motivate its "creative types." Which of the following ways can be considered by the firm to encourage creativity among the creatives? A. Avoiding training programs as creatives cannot benefit from training B. Being less tolerant of aberrations C. Allowing free time for innovation D. Encouraging reproductive thinking

C

The final step of the problem-based ideation process involves: A. a detailed situation analysis b. the selection of one or more problem identification techniques C. the development of concept statements for further evaluation D. a rank-ordered list of potential problems

C

Using glue to replace metal fasteners in electronics and automotive products best exemplifies _____. A. leveraged creativity B. state-of-the-art breakthrough C. applications engineering D. product adaptation

C

Which of the following guidelines is recommended for conducting a good scenario analysis? A. Determine scenarios by just using one factor. B. Avoid selecting group members with complimentary viewpoints. C. Summarize progress periodically to avoid contradictions. D. Avoid reusing groups for scenario analysis.

C

Which of the following internal records serves as a psychological projective technique that may reveal the products or services sought by consumers? A. A warranty file B. A sales file C. A complaint file D. A sales call report

C

Which of the following is the most common way to execute a first-to-market strategy? A. State-of-the-art breakthrough B. Applications engineering C. Leveraged creativity D. Adaptive applications

C

Which of the following is true of role playing as a research technique? A. There is substantial evidence of its successful use in generating ideas for new products. B. This technique tends to undermine creativity. C. It would be valuable in instances where product users are unable to verbalize their reactions. D. It would not be suitable in instances where consumers are emotionally unwilling to express their views.

C

Which of the following techniques can suggest new product functions by creating as many verb-object combinations as possible? A. Reverse brainstorming B. Omniscient proximity C. Product function analysis D. Scenario analysis

C

Which of the following techniques should be followed to make a brainstorming session more effective? A. Generate a small number of ideas and avoid numbering them. B. Stop the brainstorming session when the group hits a plateau. C. Build models and prototypes of ideas using odds and ends. D. Judge ideas as soon as they are put forth.

C

With reference to the new product development process, an initial verbal and/or prototype expression that tells what is going to be changed and how a customer stands to gain or lose is best described as a _____. A. charter B. bond C. concept D. prototype

C

With reference to the three inputs required by the creation process, _____ is the source by which the form is attained. A. design B. potential C. technology D. benefit

C

To cater to the constant demands of its customers, Roltez Pretzels, a manufacturer of pretzels and extruded corn snacks, introduces honey-mustard pretzels to its product line. The honey-mustard pretzels are examples of: A. new-to-the-world products. B. new-to-the-firm products. C. "flanker" brands. D. product improvements.

C. "Flanker" brands

George, the marketing manager of Axil Bicycles, discovers that the company's current market is becoming stagnant and the product life cycle is far past the dynamic growth stage. George also learns that Axil's competitor, Kinetixyles, is developing an innovative new bicycle with novel features. George thus proposes that Axil Bicycles should also come up with a new product, equipped with superior features. Which of the following types of opportunities is identified here? A. An underutilized resource B. A new resource C. An external mandate D. An internal mandate

C. An external mandate

Firms with a global innovation culture: A. have a disadvantage in implementing global launches. B. are unwary of the differences in customer needs and preferences. C. can better manage the R&D tasks associated with the new products process. D. are only open to domestic markets.

C. Can better manage the R&D tasks associated with the new products process

Which of the following techniques of encouraging creativity is followed by the 3M? A. Allowing creatives to break general rules at will B. Giving group rewards for innovation C. Allowing reproductive thinking D. Allowing free time for innovation

D

Which of the following would qualify as an outside source of ready-made new product concepts? A. New products people B. Marketing teams C. Manufacturing teams D. Lead users

D

_____ are those customers that are sought by a firm for eliciting new product ideas, since they have been associated with a significant current trend. A. Resellers B. Vendors C. Inventors D. Lead users

D

A computer services firm decides to diversify in the field of cosmetics. According to the product market matrix, the innovativeness risk in this case could be _____. A. none B. low C. medium D. dangerous

D

A new product only really comes into being when: A. a concept is generated. B. the technology to create the product is acquired. C. a prototype passes scrutiny by potential users. D. it is successful in the market.

D

A single overall plan for a product industry is typically known as a _____ platform. A. brand B. line C. channel D. category

D

Ace Corporation, a software development firm, used a standard set of subcomponents for all its multimedia products. Ace is using a _____. A. brand platform B. category platform C. channel platform D. product platform

D

Any "rules of the road" requirements imposed by a situation or by upper management form a part of the _____ section of a PIC. A. background B. focus C. goals-objectives D. guideline

D

Identify the process in which participants generate a list of key problems with the product currently in use, then group and prioritize these such that product development can focus on addressing the most important problems. A. Psychological projection B. Skimming C. Crowdsourcing D. Reverse brainstorming

D

In a _____, one assesses the likelihoods of occurrence of high-impact, low-probability events and investigates the threats or new product opportunities they suggest. A. static leap study B. focus group study C. dynamic leap study D. wild card study

D

In order to generate quick revenue, Helium Corp., an electronics manufacturing firm makes a technical improvement to one of its competitor's ERP offerings. This is an example of _____. A. leveraged creativity B. state-of-the-art breakthrough C. applications engineering D. product adaptation

D

In the context of barriers to firm creativity, strong interpersonal ties between team members tend to lead to: A. information overload. B. more innovative ideas. C. weak social cohesion. D. lack of creative abrasion.

D

The most productive methodology to use for gathering a list of consumer problems is: A. to consult experts. B. to review published sources. C. to brainstorm with members of consulting firms. D. to directly contact stakeholders.

D

Which of the following is an advantage that electronic brainstorming has over traditional brainstorming? A. It allows only one person to talk at a time. B. It prevents participants from all answering at once. C. It encourages "social loafing". D. It allows participants to answer anonymously.

D

Which of the following is the most common method used to directly contact business or household customers? A. Observation B. Role playing C. Focus group D. Interviewing

D

Which of the following is true of focus groups? A. A focus group is often very difficult to set up and is the most expensive method of gathering information. B. A focus group, unlike the traditional survey, depends on the power of numbers rather than in-depth discussions. C. A focus group makes it difficult for a person to talk about his or her problems when others in the group have already admitted they have problems too. D. Although the focus group technique is common, the outcome is not always, or even usually, successful.

D

Which of the following statements about the observation method of gathering information is true? A. This method does not involve the use of video cameras or photos to record observational data. B. This method excludes non customers from its subject of observation. C. There is little evidence of the successful use of this method in generating ideas for new products. D. This method is rooted in sociological studies.

D

Which of the following statements is true regarding the method of user toolkits? A. It is particularly useful when very few customers require customized products. B. It increases the number of iterations required to fully satisfy customers. C. It increases time required to respond to customer needs. D. It formally turns the innovation task over, to some extent, to the users themselves.

D

New-to-the-firm products: A. most likely require consumer learning. B. most likely involve the incorporation of a very new technology. C. tend to revolutionize existing product categories. D. are new to a company, but are not new to the world.

D. Are new to a company, but are not new to the world

Which of the following phases of the new products process involves selecting a high potential opportunity and beginning customer involvement? A. Product launch B. Product development C. Concept evaluation D. Concept generation

D. Concept generation

With reference to the new products process, a firm adopts the ready—fire—aim approach when it: A. lacks senior management support. B. does not pay enough attention to quality. C. chases a moving target. D. does not do the required homework before beginning development.

D. Does not do the required homework before beginning development

In an attempt to extend the life of its brand of AquaFresh soap, Agate Inc., a soap manufacturer, makes certain enhancements to the characteristics and quality of its soaps. Agate's products would best fit into the new product category of: A. line extensions. B. new-to-the-firm products. C. new-to-the-world products. D. product improvements.

D. Product improvements

The _____, a strategy for new products, ensures that the new product team develops products that are in line with firm objectives and strategies and that address marketplace opportunities. A. product prototype B. product portfolio C. product framework D. product innovation charter

D. Product innovation charter

Which of the following is the least innovative new product category? A. Cost reductions B. Product improvements C. Line extensions D. Repositionings

D. Repositionings

Which of the following is associated with the concept generation phase of the new products process? A. Protocol concept B. Batch concept C. Fully screened concept D. Stated concept

D. Stated concept

Acron Co.'s new products team is engaged in the new products process. The members of the team select a high potential opportunity and begin creating new product ideas by identifying problems businesses or people have and suggesting solutions to them. Which of the following phases of the new products process will the team enter next? A. The product development phase B. The product launch phase C. The concept generation phase D. The concept or project evaluation phase

D. The concept or project evalutation phase

In which of the following phases of the new products process are prototypes typically created? A. The concept generation phase B. The concept or project evaluation phase C. The opportunity identification and selection phase D. The development phase

D. The development phase