IBM (Chapter 12 Connect Assignment)

product life

A good or service may pass through many stages as it establishes itself in the marketplace. Marketing managers refer to this as the ____ ____ Cycle.

a. when a customer wants it c. in sufficient quantities to meet demand

A manufacturer must work with retailers to ensure that a new product will be delivered and available for sale: (select all that apply) a. when a customer wants it b. slightly after the introduction phase c. in sufficient quantities to meet demand d. at a very high price

a. additional resources are needed b. changes to the marketing mix are needed c. the launch was a success or faillure

A postlaunch review is conducted to determine if: a. additional resources are needed b. changes to the marketing mix are needed c. the launch was a success or failure d. new management should be hired

prototype

A(n) ____ is the first physical form or service description of a new product, still in rough form, that has the same properties as the product.

d. idea generation; results

Although there are numerous stages in the product development process, every firm starts to develop new products through ____ and then finishes with an evaluation of ____. a. product deliberation; alternatives b. produce manifestation; alternatives c. idea degradation; failures d. idea generation; results

a. advertising c. coupons

During test marketing, the potential elements of the marketing mix that may be used include: a. advertising b. redesign of the product c. coupons

growth

During the ____ stage of the product life cycle, sales and profits increase due to the economies of scale associated with manufacturing and marketing costs.

introduction

During the ____ stage of the product life cycle, the product category first launches and we see innovators start buying products.

c. very low; no

During the introduction stage sales are ____ and there are ____ competitors. a. profitable at the end; no b. profitable at the end; several c. very low; no d. unprofitable; several

competition

During the maturity phase firms must defend their market share against ____.

d. Growth

During which stage of the product life cycle does the product gain acceptance, experience increase demand and sales, and encounter increasing competition? a. Decline b. Maturity c. Introduction d. Growth

b. are less risk seeking than innovators c. tend to be opinion leaders of particular product categories

Early adopters, although not as fast an innovators, are quick to purchase a new product or service. Identify all of the following characteristics that are typically associated with early adopters: (select all that apply) a. have less disposable income than innovators b. are less risk seeking than innovators c. tend to be opinion leaders of particular product categories d. are youngest in age of all the consumer category groups

b. saturated

Emerging new trends or changes in consumer tastes can fragment ____ markets, which would open new market opportunities. a. relevant b. saturated c. new d. declining

c. performance

Firms measure the success of a new product by its sales ____, customer acceptance and it satisfaction of the firm's financial requirements. a. ratio b. analysis c. performance d. costs

a. Create a niche segment b. Completely exist market

Identify the steps taken by firms who have products in the decline stage of the product life cycle. a. Create a niche segment b. Completely exit market c. Add more inventory

a. fails to meet

If a concept test ____ customers' expectations, it is doubtful it would succeed if it were to be produced and marketed. a. fails to meet b. visualizes c. satisfies d. exceeds

concept

If a firm produces a visual image of an imagined or projected product to bring an idea to life, this is an example of ____ testing.

b. Beta testing

If you are a customer of a company and are asked to use a product prototype, you would be engaging in what type of testing? a. Test marketing b. Beta testing c. Alpha testing d. Focus group testing

concept

In ____ testing, a statement is presented to potential buyers or users to obtain their reactions.

a. are often experts who provide the initial review b. are essentially the testers for a product or service

Innovators are as important to firms as they are to other consumers in that they: a. are often experts who provide the initial review b. are essentially the testers for a product or service c. do not follow the trends of the market d. force other consumers to buy the product or service

a. Early adopters

Joanna is interested in new electronics products, but she prefers to wait to buy them until technology bloggers--who often receive new products slightly before they are introduced--post their opinions. Joanna probably belongs to which of the adopter groups? a. Early adopters b. Laggards c. Early majority d. Innovators e. Late majority

c. intense competition on price d. marketing costs increase

Key characteristics of the maturity stage are: (select all that apply) a. many competitors enter the market upon seeing the profit of the innovator b. adoption of the product is by early majority c. intense competition on price d. marketing cost increase

d. scientific; technological

Licensing typically occurs most frequently with products that are ____ and ____ and have complex patents and copyrights a. pharmaceutical; agricultural b. scientific; agricultural c. agricultural; technological d. scientific; technological

d. manufacturer's suggested retail price

Manufacturers encourage retailers to sell at a specific price known as ____. a. competitor based pricing b. business to business pricing c. price elasticity of demand d. manufacturer's suggested retail price

a. trade shows d. short-term price reductions

Manufacturers may want to promote a new product and encourage retailers to carry the product; therefore, the manufacturer may use promotions such as: a. trade shows b. sampling c. loss leader pricing d. short-term price reductions

d. Dropping

Match the relative level of sales with the stage of the product life cycle at which this level of sales is typically observed. Decline a. Low b. Rising c. Peak d. Dropping

b. Rising

Match the relative level of sales with the stage of the product life cycle at which this level of sales is typically observed. Growth a. Low b. Rising c. Peak d. Dropping

a. Low

Match the relative level of sales with the stage of the product life cycle at which this level of sales is typically observed. Introduction a. Low b. Rising c. Peak d. Dropping

c. Peak

Match the relative level of sales with the stage of the product life cycle at which this level of sales is typically observed. Maturity a. Low b. Rising c. Peak d. Dropping

maturity

Not every product makes it through the life cycle to the last two stage of the PLC to reach ____ or decline.

a. test conducted before a product or service is brought to market to determine how many customers will try and then continue to use it

Premarket test involve: a. test conducted before a product or service is brought to market to determine how many customers will try and then continue to use it b. having consumers examine a prototype in a real-use setting to determine its functionality, performance, and potential problems specific to its use c. a firm determining whether a product will perform according to its design and whether it satisfies the need for which it was intended

1. Introduction 2. Growth 3. Maturity 4. Decline

Put the stage in the product life cycle in order from first to last, top to bottom. 1. Maturity 2. Introduction 3. Decline 4. Growth

a. Firm confirms its target market

Sequential steps are involved in a new product launch. Match each task with the step. First Step a. Firm confirms its target market b. Firm decides how the product will be positioned c. Firm finalizes the remaining marketing mix variables for the new product

b. Firm decides how the product will be positioned

Sequential steps are involved in a new product launch. Match each task with the step. Second Step a. Firm confirms its target market b. Firm decides how the product will be positioned c. Firm finalizes the remaining marketing mix variables for the new product

c. Firm fanalizes the remaining market mix variables for the new product

Sequential steps are involved in a new product launch. Match each task with the step. Third Step a. Firm confirms its target market b. Firm decides how the product will be positioned c. Firm finalizes the remaining marketing mix variables for the new product

b. Compatibility

Starbucks is an excellent examples of how a firm can use its knowledge of product characteristics to be successful. Match each statement about Starbucks to the product characteristic it represents. Most Americans drink coffee each morning. a. Relative advantage b. Compatibility c. Observability d. Complexity and trialability

a. Relative advantage

Starbucks is an excellent examples of how a firm can use its knowledge of product characteristics to be successful. Match each statement about Starbucks to the product characteristic it represents. Most would perceive that Starbucks is an superior form of coffee. a. Relative advantage b. Compatibility c. Observability d. Complexity and trialability

d. Complexity and trialability

Starbucks is an excellent examples of how a firm can use its knowledge of product characteristics to be successful. Match each statement about Starbucks to the product characteristic it represents. Starbucks coffee is a simple product and is quite easy to try. a. Relative advantage b. Compatibility c. Observability d. Complexity and trialability

c. Observability

Starbucks is an excellent examples of how a firm can use its knowledge of product characteristics to be successful. Match each statement about Starbucks to the product characteristic it represents. Starbucks has their distinct logo on each of their coffee cups. a. Relative advantage b. Compatibility c. Observability d. Complexity and trialability

a. introductory price

Susan launched a brownie company and based on her market research she knew that she could sell three brownies for five dollars, but she decided to start selling the brownies at a(n) ____ in order to get customers to try the brownies. a. introductory price b. higher price c. financial loss d. discount store

advantage

The Apple iPod was readily accepted by consumers in part because it was an easy way to listen to music anywhere, with big advantages over portable CD players. This is an examples of a relative ____ within the diffusion process.

early majority

The ____ ____ represents the earlier half of the two largest categories of consumers on the diffusion of innovation curve.

d. research and development

The ____ department can be considered an investment into a company's future, in which scientists work to solve complex problems and develop new ideas. a. research and deploy b. repeat and determine c. replicate and develop d. research and development

1. Innovators 2. Early adopters 3. Early majority 4. Late majority 5. Laggards

The diffusion of innovation curve shows the typical distribution of adoption rates for five different categories of consumers. Rank the order of these consumers, starting with the left-most group and ending with the right-most group. 1. Laggards 2. Early adopters 3. Late majority 4. Early majority 5. Innovators

b. rising sales c. typical consumers are early adopters and early majority d. profits rise

The key characteristics of the growth stage of the product life cycle are: (select all that apply) a. typical consumers are innovators b. rising sales c. typical consumers are early adopters and early majority d. profits rise

life cycle

The product ____ ____ concept is indeed a valid idea, and new analytical tool now provide "rules" for detecting key turning points in the cycle.

1. Idea generation 2. Concept testing 3. Product development 4. Market testing 5. Product launch 6. Evaluation of results

The product development process can be diagrammed as a sequential process. Place stage in the process in order from beginning to end. 1. Evaluation of results 2. Market testing 3. Idea generation 4. Product development 5. Product launch 6. Concept testing

complexity

Trialability and ____ refer to how complicated a product is and how easy or hard it is to try.

e. Laggards

Using a new smart phone as an example, match the consumer category with the most probable action they would take with regards to buying the device. May never buy one; if they do, it may not happen until something newer has come along. a. Innovators b. Early adopters c. Early majority d. Late majority e. Laggards

d. Late majority

Using a new smart phone as an example, match the consumer category with the most probable action they would take with regards to buying the device. Will buy it after most of their friends have one. a. Innovators b. Early adopters c. Early majority d. Late majority e. Laggards

b. Early adopters

Using a new smart phone as an example, match the consumer category with the most probable action they would take with regards to buying the device. Will wait a week or two and read several reviews before buying. a. Innovators b. Early adopters c. Early majority d. Late majority e. Laggards

c. Early majority

Using a new smart phone as an example, match the consumer category with the most probable action they would take with regards to buying the device. Will wait till they are sure its works well and that they will be able to use it. a. Innovators b. Early adopters c. Early majority d. Late majority e. Laggards

a. Innovators

Using a new smart phone as an example, match the consumer category with the most probable action they would take with regards to buying the device. Would line up outside the store to be the first to buy it. a. Innovators b. Early adopters c. Early majority d. Late majority e. Laggards

a. Establish an early market share lead b. More readily recognized to consumers d. More likely to command a greater market share over a long period.

What are some advantages experienced by pioneer firms over later entrants? (select all that apply) a. Establish an early market share lead b. More readily recognized to consumers c. Low failure rate once new product launches d. More likely to command a greater market share over a longer period.

decline

When a product goes into the ____ stage of the product life cycle, it eventually exits the market.

a. varied color b. styles c. features

When products reach the growth stage of the product life cycle, you must study your customers and know their preferences such as: a. varied color b. styles c. features d. primary data

a. Through brainstorming those ideas or combination of ideas which received the most votes are carried forward to the next stage.

Which of the following is a possible advantage for a firm that chooses to use brainstorming for its new products as apposed to other idea generation methods? a. Through brainstorming those ideas or combination of ideas which received the most votes are carried forward to the next stage. b. The firm does not needs a group to do it c. Brainstorming is one of the most expensive options available. d. The firm can quickly decide whether to accept or reject an idea.

a. Conducting consumer research b. Brainstorming within the firm c. Communicating with a firm's R&D department e. Researching competitors' products and services

Which of the following processes could be considered an acceptable method for generating ideas? (select all that apply) a. Conducting consumer research b. Brainstorming within the firm c. Communicating with a firm's R&D department d. Arguing with other firms and institutions e. Researching competitor's products and services

a. innovatory; early adopter

While the ____ is first to adopt the item, often in its more extreme form, the ____ is often the first non-celebrity a consumer knows who adopts next. a. innovatory; early adopter b. early adopter; early majority c. early adopter; innovator d. early adopter; creator e. innovator; creator

a. Continue to market current product to current customers b. Take current products to new markets

Without innovation, what options would be available to firms? a. Continue to market current product to current customers b. Take current products to new markets c. Develop new products for new markets d. Develop new products for current markets

Product

____ development entails a process of balancing various engineering, manufacturing marketing, and economic consideration to develop a products's form and features or a service's features.

Diffusion innovation

____ of ____ is the process by which the use of an innovation, whether a product or a service, spreads throughout a market group over time and over various categories of adopters.

Pioneer

____ or breakthrough products are brand new products that establish completely new market or radically change both the rules of competition and consumer preferences in a market.