Ch. 9 pom
Click and drag on elements in order List the steps of the new-product development process in order, placing the first step at the top of the list.
1idea 2screen 3idea eval develop commercial
Click and drag on elements in order Place the four stages of the product life cycle in order from the first stage (top) to the final stage (bottom).
1mi 2mg 3mm 4sd
Which of these products is protected by copyright law?
A musical score
Some companies use data and intelligence to support continuous improvement. (Enter one word in the blank.)
Blank 1: artificial
New-product innovations go through a cycle of growth and , and marketing strategy typically evolves over that cycle.
Blank 1: decline or maturity
It is important to evaluate a new idea's return on investment and likely .
Blank 1: profitability, profits, or profitable
Because introducing a new product is expensive, a marketing manager may try to the market—that is, charge a relatively high price to help pay for the introductory costs.
Blank 1: skim
K.C. Rao, brand manager for Hershey, has introduced a new low-calorie chocolate candy bar, Choco-Lite. He is gradually rolling out the product, starting to sell it in the western United States before moving east. He has decided on an expensive promotional campaign to make customers aware of the new bar. Choco-Lite is in which step of the new-product development process?
Commercialization
Select all that apply Which of these characteristics help a new product move quickly through the early stages of the product life cycle?
Comparative advantage Ease of use Matches values of target customers
Select all that apply Select all the following that typically occur in the market introduction stage of the product life cycle.
Customers are not seeking the product. Firms inform customers about the product. Sales are low.
Matthew received a pacemaker to help the arrhythmia he is experiencing with his heart. The pacemaker provides a continual stream of information that is monitored by specialists at the heart clinic and if they notice any indicators of concern, they contact Matthew and he reports to the clinic for assessment. What is helping the heart clinic improve the quality of care Matthew is receiving?
Data
Select all that apply Which of the following factors are important to new product success?
Effective transitions from idea to market Effective product design Offering superior customer value
Select all that apply Which of the following are ideas consistent with total quality management?
Everyone in the company should care about quality. It is less expensive to do things right the first time.
How to promote the product The cost of product development Which distribution channels to select
False
True or false: More ideas are generated in a firm with a culture that emphasizes efficiency and cost-cutting.
False
True or false: Now that companies spend more money on new product introduction, it is common for more than 80 percent of new products to succeed.
False
True or false: The sales and profits of an individual brand always follow the product life-cycle pattern.
False
Select all that apply Select all the choices that should impact marketing strategy planning.
How fast the product is moving to the next stage Where a product is in its life-cycle stage
Select all that apply Select all the choices that a marketing manager must consider when introducing a new product in the market introduction stage.
How to promote the product The cost of product development Which distribution channels to select
Drag each activity to the corresponding step of the new-product development process.
Idea generation matches Choice Solicit ideas from customers Screening matches Choice Idea fit with company objectives Idea evaluation matches Choice Concept testing Development matches Choice Create prototype Commercialization matches Choice "Roll out" product in select markets
Select all that apply Which two of the following occur in the market maturity stage of the product life cycle?
Industry profits decline. Competition gets tougher.
Seeing sales of its tennis balls in decline, the brand manager at Tennis Pro International made minor changes to the brand's packaging (moving from three-ball packages to four-ball packages) and promoted this as a new product. How would the Federal Trade Commission respond to this decision?
It probably would not approve of it.
Johnson Controls (JC) is finally earning a profit on a new product it introduced to business buyers a year ago. More and more customers are purchasing the product, and the product faces little serious competition. Industry competitors have begun to take notice, however, and have recently introduced competing products. In which stage of the product life cycle is Johnson Controls operating?
Market growth
Drag each set of characteristics to the corresponding stage of the product life cycle.
Market introduction matches Choice Verizon introduces a phone with a 3D screen; no other firm has one. Market growth matches Choice Several firms sell compact fluorescent light bulbs; sales and profits are growing. Market maturity matches Choice There is a battle of the brands in frozen pizza, with all brand offerings being relatively similar. Sales decline matches Choice Only a few firms still make disk drives for computers; sales and profits are dropping fast.
Which market situation is typical of the market growth stage of the product life cycle?
Monopolistic competition
Select all that apply Select all the following that occur in the market growth stage of the product life cycle.
New competitors enter. Innovators profit. Product variety increases. Sales grow fast.
Select all that apply According to the iRobot case, which of the following are among the keys to the success of the development of Roomba?
New-product developers took the customers' perspective. Focus groups indicated it needed a vacuum in addition to sweeper brushes. The product appealed to a wide target market—people who hate to vacuum.
______ is essential if a company is going to survive in today's dynamic markets.
New-product development
Select all that apply Which of the following occur in the sales decline stage of the product life cycle?
Price competition becomes vigorous. Strong brands can make profits. New products replace old.
Select all that apply Which of the following positions oversee product promotion and often take over the jobs formerly handled by advertising managers?
Product manager Brand manager
Select all that apply During the new-product development process, a company should continually evaluate which two of the following?
Return on investment Profitability
Most of Stardust Co.'s competitors have left the market because of declining sales. Stardust has introduced new products but has continued producing the old products because a small group of loyal customers still use them. This product-market is in which product life-cycle stage?
Sales decline
Select all that apply Select all the following that can provide a firm with competitive advantage as a market moves into the market maturity stage.
Successful promotion strategies A better product Lower production costs
Select all that apply What are four common reasons why new products may fail?
The benefit offered is not unique. The product is not designed well. The marketing plan for the product is weak. A company underestimates the competition.
Select all that apply Select all the true statements about market changes.
They make developing new products important to the firm's success. They are associated with changes in customer behavior. They pose challenges to marketing managers.
What is the one key trait found in companies that are successful at developing new goods and services?
Top-management support
What is key to improving service quality?
Training and empowerment
A firm should never skip steps in the new-product development process because Blank______.
a single misstep or oversight could cause the product to fail.
During the Blank______ step of the new-product development process, a new product is finally placed on the market.
commercialization
Getting reactions from customers about how well a new product idea fits their needs is called Blank______.
concept testing
Jason participated in a focus group in which he was shown a new line of "healthy" soft drinks and tasted the product. He wrote down his reaction to how well he thought the soft drink tasted and whether or not he preferred it over his current soft drink. Jason is participating in Blank______.
concept testing
Continuous improvement means that an organization strives to Blank______.
constantly make things better
An ongoing commitment to improving processes and products one step at a time is referred to as Blank______ improvement.
continuous
The longer new-product development takes, the more likely it is that Blank______.
customer needs will have changed
In the Blank______ step of the new-product development process, the physical product is designed.
development
When companies use their competitors as sources of new-product ideas, they often Blank______.
disassemble competitors' products in order to reverse engineer their innovations
Innovations that require major changes in customer behavior are called Blank______ innovations.
discontinuous
The invention of the television, automobile, or personal computer, all of which introduced drastic changes into the lives and behaviors of customers, are examples of Blank______.
discontinuous innovations
Product innovations that are truly new tend to Blank______.
disrupt old ways of doing things
New products that require minor changes in customer behavior are called Blank______ innovations.
dynamically continuous
The introduction of camera technology to cell phones, which required users to learn relatively minor new behaviors, is an example of a Blank______.
dynamically continuous innovation
Total quality management requires Blank______ to focus on quality and meeting customer needs.
everyone in the organization
Firms that sell Blank______-related products should expect short product life cycles.
fashion
One way in which the lean startup methodology for new product development differs from the stage-gate process is that the lean startup method:
focuses on moving back and forth between improving the product and showing it to customers
How fast the product is moving to the next stage Where a product is in its life-cycle stage
getting shorter
In general, product life cycles, as a whole, are Blank______.
getting shorter
A phase-out strategy should be implemented Blank______.
gradually
If a new product has a greater comparative advantage over products already on the market, sales will tend to Blank______.
grow more rapidly
The cost of new-product development is typically Blank______ and the associated risk of failure is Blank______.
high; high
Select all that apply According to this case, which of the following are true about iRobot?
iRobot has new products that mow lawns, clear gutters and scrub pools. iRobot sells Roombas priced from about $275 to $1,250.
An organizational culture that emphasizes Blank______ can generate more ideas.
innovation
Most companies experience losses during the market Blank______ phase because of high levels of promotional spending, sharing information about the product, and low sales. All of these are important since most target customers are not aware of the product.
introduction
Select all that apply Which three of the following are methodologies for new product development?
lean startup design thinking stage gate
A product idea can be in a different Blank______ in different markets.
life-cycle stage
TQM is based on the idea that the cost of poor product quality is Blank______.
lost customers
Ultimately, the cost of a poor quality product or service is Blank______.
lost customers
Tennis Products Corp. has noticed that in one of its product-markets, industry sales have leveled off and competition has been getting tougher. The product-market therefore appears to be in the Blank______ stage of the product life cycle.
market maturity
Competitive advantage is especially important in Blank______ product-markets.
mature
Sometimes in a(n) Blank______ market, a firm may find a new use for an existing product that aids in boosting sales and avoiding sales decline.
mature
The product life-cycle concept Blank______ indicates precisely how long each stage will last.
never
An offering that is different in any way from a company's other products is known as a Blank______ product, even if it is a refined version of a previous product.
new
Because the product life cycle is an inevitability in most markets, a firm must have an active Blank______ process or otherwise risk going out of business.
new-product development
Candace doesn't want another company to copy her idea for a self-charging phone case. To protect her idea, Candace should file for a Blank______.
patent
During the market growth stage of a product, a company will want to focus promotional efforts on Blank______ customers.
persuading
When a firm determines that a product will no longer be profitable enough for the firm to meet its objectives, it may need to develop a Blank______ strategy.
phase-out
The first company to introduce a new product to a market is known as a(n) Blank______.
pioneer
The cost of Blank______ is lost customers.
poor quality product
During the market introduction stage of the product life cycle, it takes time for customers to learn that a new product is available; therefore, a firm must invest heavily in Blank______.
promotion
The major responsibility of most product managers or brand managers is Blank______.
promotion
Sales of an individual product or brand will Blank______ follow the product life-cycle pattern.
rarely
When research and development managers at Bosch Home Appliances purchase a new Maytag dishwasher and take it apart to get new product ideas, Bosch's managers are engaging in Blank______.
reverse engineering
Which of the following is not a practice of a company attempting to offer products with a focus on faster speed-to-market?
reworking the image of older products to reinvigorate sales
Carl Kastle, marketing manager for NPG Electronics, reviews a S.W.O.T. analysis to help him evaluate three new product ideas NPG is currently considering. Kastle is operating in the Blank______ step of the new-product development process.
screening
You would conduct a S.W.O.T. analysis in the Blank______ phase of the new product development process.
screening
Companies that respond quickly to products introduced by pioneers and offer a superior marketing mix are known as Blank______ and can be more profitable over time.
second-movers
In the service industry, training and empowerment are two keys to improving Blank______.
service quality
Direct contact between the customer and the company occurs most often among Blank______ organizations.
service-providing
Products influenced by fashion typically have Blank______ life cycles.
short
It is important that a firm Blank______ in the new-product development process.
should not skip steps
According to the FTC, a product can only be called new for up to Blank______.
six months
Product life cycle patterns apply to the sales of a given product idea in a(n) Blank______.
specific product-market
As more and more companies become proficient at bringing products and services to market, Blank______ is emerging as a powerful competitive weapon.
speed
Finding a new use for an existing product in a mature market has the potential to Blank______.
stimulate sales growth
Rapidly changing Blank______ is one reason why product life cycles are getting shorter.
technology
The development stage of the new-product development process helps to determine Blank______.
the materials, equipment, staff, or training that will be required to deliver a new product or service
The four stages that new-product ideas go through are known as Blank______.
the product life cycle
A firm that attempts to provide superior customer service by focusing on quality throughout each of its activities is engaging in Blank______.
total quality management (TQM)
Moments of direct contact between the customer and the firm, also known as Blank______, are opportunities for the company to deliver superior value.
touchpoints
The duration of the whole product life cycle tends to Blank______.
vary greatly across products