MBA 689 New Prod Development Mid-Term-Ch. 5

Which of the following internal records serves as a psychological projective technique that may reveal the products or services sought by consumers?

A complaint file Industrial and household consumers sometimes misunderstand products and erroneously project into their use of products what they are seeking. A complaint file thus becomes a psychological projective technique. One approach to handling user complaints is the toll-free complaints number or complaints Web site.

Which of the following statements is true of a focus group?

A focus group is designed to yield an exploratory and depth-probing type of discussion. The focus group is designed to yield the exploratory and depth-probing type of discussion required, and it can be easy and inexpensive to set up and use. If done wrong, it only appears that way.

In the context of the sources for the needs and problems of stakeholders, which of the following is an example of an internal record?

A warranty file The most common source of needs and problems comes from an organization's routine contacts with customers and others in the marketplace. Warranty files will show where problems are. In addition to these routine contacts, a firm may conduct formal marketing research to gather information on customer satisfaction.

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 wild card This high-impact, low-probability event is an example of a wild card. The Arlington Institute identifies human cloning as a wild card event as it could raise ethical issues, and consequently lead to the possibility of extending human life.

Which of the following is true of focus groups?

Although the focus group technique is common, the outcome is not always, or even usually, successful. Although the focus group technique is common, the outcome is not always, or even usually, successful. The focus group is a qualitative research technique. Unlike the traditional survey, it depends on in-depth discussions rather than the power of numbers.

_____ 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.

Bothersomeness Various methods can be used for sorting and ranking problems according to their severity or importance. A common one that uses the extent of the problem and the frequency of its occurrence is called bothersomeness. This bothersomeness index is then adjusted by users' awareness of currently available solutions to the problem. This step identifies problems that are important to the user and for which the user sees no current solutions.

Which of the following techniques encourages the use of "art" through drawing to facilitate finding connections between ideas?

Brainsketching In brainsketching, participants draw their ideas rather than expressing them in words. Some evidence shows that brainsketching helps participants draw more connections with earlier ideas when coming up with new ideas.

Which of the following is true of the problem-solving technique of brainsketching?

Brainsketching helps participants draw more connections with earlier ideas when coming up with new ideas. In brainsketching, participants draw their ideas rather than expressing them in words. Some evidence shows that brainsketching helps participants draw more connections with earlier ideas when coming up with new ideas. Another emerging technique is called speedstorming. It is described as a round-robin format, similar to speed-dating, in which participants pair off and discuss a topic for a three- to five-minute round.

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 _____.

Brainstorming Back in 1938, advertising executive Alex Osborn wrote a book about a technique he called brainstorming. One person presents a thought, another person reacts to it, another person reacts to the reaction, and so on. All of the group ideation techniques developed since that time are spin-offs of his process and embody one idea: This presenting/reacting sequence gives group creativity its meaning, and the various techniques developed simply alter how ideas are presented or how reactions take place.

Which of the following techniques should be followed to make a brainstorming session more effective?

Build models and prototypes of ideas using odds and ends. Guidelines that facilitate an effective brainstorming session include the following: Go for a large quantity of ideas, defer judgment, and number the ideas. When the group hits a plateau, the facilitator can suggest a new direction and models and prototypes can be built by using odds and ends.

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?

Disciplines panel This assemblage of experts can be best described as a disciplines panel. An approach that seeks to assemble experts from all relevant disciplines and have them discuss the problem is called a disciplines panel.

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.

Dynamic leap In dynamic leap studies, the focus is on what changes must be made between now and then if the leap scenario is to come about—the interim time period is the meaningful focus. In static leaps, there is no concern about how we get there.

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):

Dynamic leap study In this case, Helium Corporation's efforts can be best described as a dynamic leap study. In dynamic leap studies, the focus is on what changes must be made between now and then if the leap scenario is to come about—the interim time period is the meaningful focus.

True or false: Groups, in general, are much better than individuals in handling really new ideas and finding radical solutions to problems.

FALSE Generally, individuals can handle really new ideas and find radical solutions to problems better than groups can. Some feel that one reason small firms are more innovative than large firms is that they do not often use group creativity.

True or false: In static leap studies, the focus is on what changes must be made between now and then if the leap scenario is to come about—the interim time period is the meaningful focus.

FALSE In dynamic leap studies, the focus is on what changes must be made between now and then if the leap scenario is to come about—the interim time period is the meaningful focus. In static leaps, there is no concern about how we get there.

True or false: Problem analysis is primarily concerned with building an inventory of user problems.

FALSE Problem analysis means much more than a simple compilation of user problems. Although the term problem inventory is sometimes used to describe this category of techniques, taking the inventory is only the beginning—analysis is the key.

True or false: Government reports and investigations by social critics are examples of stakeholder contacts that are used to seek out the voice of the customer.

FALSE Published services are frequently useful for gathering information. They include industry studies, a firm's own past studies on allied subjects, government reports, investigations by social critics, scientific studies in universities, and many others.

True or false: In speed storming, participants draw their ideas instead of expressing them in words.

FALSE Speed storming is described as a round-robin format, similar to speed-dating, in which participants pair off (at random, or with some pattern in mind such as that the two participants must be from different functional areas) and discuss a topic for a three- to five-minute round. In brain sketching, participants draw their ideas rather than expressing them in words.

True or false: The first step of reverse brainstorming involves identifying a group of "heavy product users" or activity participants within that category.

FALSE The first step of reverse brainstorming involves determining the appropriate "product or activity category" for exploration. The second step involves identifying a group of "heavy product users" or activity participants within that category.

True or false: 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.

FALSE The focus group method works well by stimulating people to speak out about things they are reluctant to mention when in one-on-one interview situations. It's much easier to talk about one's problems when others in the group have already admitted they have problems, too.

True or false: Role playing is the best means of generating ideas for new products.

FALSE Though role playing has long been used in psychology to enhance creativity, there is little evidence of its successful use in generating ideas for new products. Presumably, it would be valuable in instances where product users are unable to visualize or verbalize their reactions.

The use of stakeholder contacts as a methodology for gathering information useful for problem analysis involves the use of:

Focus groups Using stakeholder contacts is a methodology that involves seeking out the voice of the customer—that is, asking household or business customers directly, via interviewing, focus groups, direct observation, or role playing.

Describe how focus groups are used to seek the voice of the customer (VOC).

Focus groups are designed to yield the exploratory and depth probing type of discussion required, and they can be easy and inexpensive to set up and use. But, even in a single focus group, the costs are deceptive. The focus group method works well by stimulating people to speak out about things they are reluctant to mention when in one-on-one interview situations. It is much easier to talk about one's problems when others in the group have already admitted they have problems too. Although the focus group technique is common, the outcome is not always, or even usually, successful. The focus group is a qualitative research technique. Unlike the traditional survey, it depends on in-depth discussions rather than the power of numbers.

One of the dimensions used by the bothersomeness technique for ranking and sorting problems according to their severity or importance is the _____.

Frequency of the problem Various methods can be used for sorting and ranking problems according to their severity or importance. Bothersomeness is one such technique. It uses (1) the extent of the problem, and (2) the frequency of its occurrence. This bothersomeness index is then adjusted by users' awareness of currently available solutions to the problem. This step identifies problems that are important to the user and for which the user sees no current solutions.

Which of the following is the most common source for the needs and problems of stakeholders?

Internal records The most common source of needs and problems comes from an organization's routine contacts with customers and others in the marketplace that forms its internal records. Daily or weekly sales call reports, findings from customer or technical service departments, and tips from resellers are examples.

Which of the following is the most common method used to directly contact business or household customers?

Interviewing The most common method by far is direct, one-on-one interviewing. Sometimes this is a full-scale, very formal, and scientific survey. Other times the discussion is with lead users. An idea-generating method where lead users often are the first to sense a problem, and some go on to respond to it themselves.

Which of the following is an advantage that electronic brainstorming has over traditional brainstorming?

It allows participants to answer anonymously. Electronic brainstorming, a form of brainstorming assisted by group support systems, is said to overcome the limitations of traditional brainstorming, as it allows participants to all answer at once, and also to answer anonymously. Despite its popularity, traditional brainstorming has several drawbacks. Only one person can talk at a time, and social loafing may occur.

Which of the following is true of scenario analysis?

It helps in formulating a solution for a future problem. Scenario analysis comes into play because the ideal problem for us to find is one that customers or end users don't know they have at this time. We have time to solve a future problem and have that solution ready to market when the time comes. A future problem is a good problem because most problems we find in interviews and focus groups have already been told to competitors and anyone else who will listen.

Which of the following is true of role playing as a research technique?

It would be valuable in instances where product users are unable to verbalize their reactions. Role playing would be valuable in instances where product users are unable to visualize or verbalize their reactions. Though role playing has long been used in psychology to enhance creativity, there is little evidence of its successful use in generating ideas for new products. It should also be valuable where consumers are emotionally unable or unwilling to express their views—for example, in areas of personal hygiene.

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.

Observation The methodology used to gather information regarding customer needs in this scenario is "observation." Observation methods involve watching customers using products in their own environments. Video cameras or photos are sometimes used to record observational data.

The phenomenon of _____ is the tendency of respondents to mention minor, but frequently encountered, problems first.

Omniscient proximity Complaints are common and often taken as requests for new products. But they are apt to be just the result of omniscient proximity, meaning that users face a minor problem frequently, so it is the first one mentioned.

Common complaints by end users or consumers taken as requests for new products are a direct result of _____.

Omniscient proximity Consumer complaints that are common are often taken as requests for new products. They are apt to be just the result of omniscient proximity, meaning that users face a minor problem frequently, so it is the first one mentioned.

Explain how online communities have revolutionized customer information gathering with relevant examples.

Online communities or virtual communities have revolutionized customer information gathering. An online community can be defined as any group that interacts using a communications medium such as online social networking. Numerous firms, including P&G, Kraft, Dell, and Hewlett-Packard, use online communities as a key part of their voice of the customer efforts and, indeed, throughout their new products process. Familiar online communities such as Facebook, Twitter, or LinkedIn are open to everyone and widely popular. In addition, service providers like MarketTools or Vision Critical obtain rich customer insights by setting up private online communities of 500 or fewer carefully selected members. Firms can also access proprietary online panels (POPs), which may contain hundreds of thousands of individuals who are statistically representative of a target market. These panels can be used to supplement online communities in a number of ways. For example, POPs can validate promising ideas or insights generated from a private online community Firms may have a range of objectives when initiating an online community. As a VOC technique, online communities provide a listening function: They allow firms to obtain new ideas from customers and get feedback on new concepts. Working with a service provider like MarketTools, firms can monitor public communities and blogs to spot new customer trends and emerging opportunities. Online communities are also a way to establish rapport with customers, enable customer support, and build emotional bonds between customers and the firm.

Which of the following techniques can suggest new product functions by creating as many verb-object combinations as possible?

Product function analysis A product can be expressed in two words, a verb and an object. For example, toothpaste "cleans teeth". Thinking of new combinations of verbs and objects can suggest new product functions.

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.

Reverse brainstorming One commonly used procedure for problem analysis is reverse brainstorming. In this procedure, 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.

Which of the following techniques can be used to identify those problems that customers or end users do not know they have at present?

Scenario analysis Scenario analysis comes into play because the ideal problem for us to find is one that customers or end users don't know they have at this time. A future problem is a good problem because most problems we find in interviews and focus groups have already been told to competitors and anyone else who will listen.

Which of the following guidelines is recommended for conducting a good scenario analysis?

Summarize progress periodically to avoid contradictions. In a scenario analysis, summarizing progress periodically keeps a group on track and avoids contradictions. Scenarios should never be determined by just one factor, and therefore a combination of the factors causing change should work best.

True or false: The longer an online community is in operation, the more difficult it becomes to organize the content and make it easy for participants to find their way around.

TRUE A good-sized community may take more than a year to mature. The longer the community is in operation, the more difficult it becomes to organize the content and make it easy for participants to find their way around.

True or false: A product can be expressed in two words, a verb and an object.

TRUE A product can be expressed in two words, a verb and an object (for example, toothpaste "cleans teeth"). Thinking of new combinations of verbs and objects can suggest new product functions.

True or false: Conducting a good scenario analysis requires one to keep it simple as participants will likely have difficulty understanding really complex scenarios.

TRUE Scenario analysis lead to great learning and insights, but are hard to do well. One of the guidelines that have been suggested for conducting a good scenario analysis is to keep the scenario simple.

True or false: The bothersomeness index method of sorting and ranking problems according to their severity or importance uses the extent of the problem and the frequency of its occurrence.

TRUE Step four of the reverse brainstorming process involves sorting and ranking the problems according to their severity or importance. Various methods can be used for this, but a common one is the bothersomeness index that uses the extent of the problem and the frequency of its occurrence.

True or false: The fourth general source of stakeholder needs, scenario analysis, comes into play when there is a need to anticipate future problems that end users don't know they have at this time.

TRUE The fourth general source of stakeholder needs, scenario analysis comes into play because the ideal problem for us to find is one that customers or end users don't know they have at this time.

True or False: The most common source of needs and problems comes from an organization's routine contacts with customers and others in the marketplace.

TRUE The most common source of needs and problems comes from an organization's routine contacts with customers and others in the marketplace. Daily or weekly sales call reports, findings from customer or technical service departments, and tips from resellers are example

The final step of the problem-based ideation process involves:

The development of concept statements for further evaluation. The problem-based concept generation process is characterized by a workflow that starts from the study of a situation, to use of various techniques of problem identification, to screening of the resulting problems, and ends in development of concept statements that will then go into the evaluation phase. The whole system is based on close involvement with parties who have information to help the process.

List the guidelines to be followed for conducting a good scenario analysis.

The guidelines to be followed for conducting a good scenario analysis are: Know the now. The participants must have a good understanding of the current situation and its dynamics, otherwise the future they envision will not be realistic or useful for idea generation. Keep it simple. Participants will likely have difficulty understanding really complex scenarios. Be careful with selecting group members. A group of about six, with contrasting or complementary viewpoints and prior experiences, works best. Do an 8- to 10-year projection. Too far out, and the participants are guessing. Not far enough out, and the respondents will just extend whatever is going on now. Periodically summarize progress. This keeps the group on track and avoids contradictions. Combine the factors causing changes. Scenarios should not be determined by just one factor. Check fit or consistency at the end. Once you have done the scenario analysis, plan to use it several times. These can be expensive. Reuse the group. The more scenario analysis they do, the more they enjoy the task, and the better they get at it.

Discuss the use of internal records in identifying the sources of needs and problems with a suitable example.

The most common source of needs and problems comes from an organization's routine contacts with customers and others in the marketplace. Daily or weekly sales call reports, findings from customer or technical service departments, and tips from resellers are examples. Sales files are peppered with customer and reseller suggestions and criticisms. Warranty files will show where problems are. In addition to these routine contacts, a firm may conduct formal marketing research to gather information on customer satisfaction. Studies of this type are useful, as are the files of the groups working on total quality management. Information gained through routine market contacts can be profitably combined with other methods, such as the problem-solving technique or customer surveys.

Discuss product function analysis as a concept generation method.

The product function analysis can be used for generating new concepts. A product can be expressed in two words, a verb and an object. Thinking of new combinations of verbs and objects can suggest new product functions. In this method, hundreds of these two-word mini-concepts can be generated and shown via computer to respondents, who rate them in terms of likely interest. The highest scoring concepts are identified and in-depth interviews are conducted to explore feelings and ideas further.

Explain the problem-analysis procedure of reverse brainstorming.

There are several variations in problem analysis. But one commonly used procedure is reverse brainstorming. In this procedure, 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. The general approach is the following: Step One: Determine the appropriate product or activity category for exploration. Step Two: Identify a group of heavy product users or activity participants within that category. Step Three: Gather from these heavy users or participants a set of problems associated with the category. Study the entire system of product use or activity. Step Four: Sort and rank the problems according to their severity or importance. This step identifies problems that are important to the user and for which the user sees no current solutions.

True or false: There is increasing evidence that electronic brainstorming outperforms traditional brainstorming in terms of productivity and output of unique ideas.

There is increasing evidence that electronic brainstorming outperforms traditional brainstorming in terms of productivity and output of unique ideas.

Which of the following statements about the observation method of gathering information is true?

This method is rooted in sociological studies. Observation methods are rooted in sociological studies, and involve watching customers (or noncustomers) using products in their own environments. New product teams observe the data carefully for actions, body language, and so on and try to identify customer needs and wants, and new product ideas that might satisfy these needs.

The most productive methodology to use for gathering a list of consumer problems is:

To directly contact stakeholders The third, and most productive, is to seek out the voice of the customer (VOC)—that involves asking household or business/industry customers directly, via interviewing, focus groups, direct observation, or role playing.

In a _____, one assesses the likelihoods of occurrence of high-impact, low-probability events and investigates the threats or new product opportunities they suggest.

Wild card study Another variant of scenario analysis is a study of wild cards—high-impact, low-probability events. Through them, one assesses the likelihoods of occurrence of the identified events and investigates the threats or new product opportunities they suggest.

The problem-based ideation process begins with:

a study of the situation. The problem-based concept generation process is characterized by a workflow that starts from the study of a situation, to use of various techniques of problem identification, to screening of the resulting problems, and ends in development of concept statements that will then go into the evaluation phase. The whole system is based on close involvement with parties who have information to help the process.

After identifying an important user problem, most problem solving should:

be done by the new product group members involved in the concept generation work. Once an important user problem has been identified, problem solving is probably done by members of the new products group that has been leading the concept generation work so far. They do it instinctively, from the moment they hear of a problem. There is no way we can quantify or describe the methods they use, most of it being intuitive. It is probably best for the group to attempt to solve one problem at a time.

One of the real problems with using in-house people to report on customer problems is that:

each suggestion is usually someone's perception of what the customer problem is. The only real problems with using in-house people to report on customer problems are (1) each suggestion is usually someone's perception of what the customer problem is, and (2) there is usually a solution given with each suggestion. In fact, sometimes we have to ask what new product customers are asking for and then ask why; the why is what we want to know at this time.

Role playing:

helps unwilling product users to express their views. Role playing would be valuable in instances where product users are unable to visualize or verbalize their reactions. It should also be valuable where consumers are emotionally unable or unwilling to express their views—for example, in areas of personal hygiene.

Brainstorming and the group creativity techniques it spawned, tend to rely heavily upon:

the presenting or reacting sequence that gives group creativity its meaning. The presenting/reacting sequence that brainstorming facilitates gives group creativity its meaning, and the various techniques developed simply alter how ideas are presented or how reactions take place.