Question 1

Which of the following is NOT a challenge presented by the product life cycle that a firm must face?

Accepted Answer

It is difficult to plot the stages as a product goes through them.

Question 2

What are the two ways that a company can obtain new products?

Accepted Answer

new-product development and acquisition

Question 3

Product improvements, product modifications, and original products can all be classified as ________.

Accepted Answer

new products

Question 4

Which of the following is NOT a potential reason for a new product to fail?

Accepted Answer

an underestimated market size

Question 5

Your firm added three new products earlier this year to increase variety for customers. Two of them failed to reach even minimal sales. Which of the following is LEAST likely to have been the cause of their failure?

Accepted Answer

Research was too extensive.

Question 6

New-product development starts with ________.

Accepted Answer

idea generation

Question 7

Executives, manufacturing employees, and salespeople are all examples of ________.

Accepted Answer

internal sources for new-product ideas

Question 8

Your company decides to use only internal sources for developing new-product ideas. Which of the following would NOT be consulted?

Accepted Answer

suppliers

Question 9

Which of the following is NOT a recommended method for companies to tap into their customers as sources for new-product ideas?

Accepted Answer

relying heavily on customers to know what types of technical products they need

Question 10

Your firm asks you to consult external sources for new-product ideas. All of the following are common external sources EXCEPT ________.

Accepted Answer

the firm\'s executives

Question 11

Which of the following is the practice of inviting broad communities of customers, employees, independent researchers, and members of the public into the new-product innovation process?

Accepted Answer

crowdsourcing

Question 12

The purpose of idea generation is to create a ________ number of ideas. The purpose of succeeding stages is to ________ that number.

Accepted Answer

large number; reduce

Question 13

The owners of GrayBerry Gifts have just brainstormed a large number of ideas for adding new products and services after visiting several buying fairs. The owners will begin the first idea-reducing stage, called ________, to arrive at a realistic number to adopt.

Accepted Answer

idea screening

Question 14

Which of the following is most likely to be included in an executive\'s write up of a new-product idea to be presented to a new-product committee?

Accepted Answer

the proposed customer value proposition

Question 15

A detailed version of a new idea stated in meaningful customer terms is called a ________.

Accepted Answer

product concept

Question 16

A ________ is the way consumers perceive an actual or potential product.

Accepted Answer

product image

Question 17

An attractive idea must be developed into a ________.

Accepted Answer

product concept

Question 18

________ calls for testing new-product concepts with groups of target consumers.

Accepted Answer

Concept testing

Question 19

In the concept testing stage of new-product development, a product concept in ________ form is presented to groups of target consumers.

Accepted Answer

physical or symbolic

Question 20

With what groups do firms conduct concept testing for new products?

Accepted Answer

target customers

Question 21

For some ________, a simple description consisting of a word or picture might be sufficient.

Accepted Answer

concept tests

Question 22

After concept testing, a firm would engage in which stage in developing and marketing a new product?

Accepted Answer

marketing strategy development

Question 23

The first part of the marketing strategy statement describes the target market; the planned product positioning; and goals for sales, profits, and ________.

Accepted Answer

market share

Question 24

24) The second part of the marketing strategy statement outlines the product\'s planned price, distribution, and ________ for the first year.

Accepted Answer

marketing budget

Question 25

The third part of the marketing strategy statement includes all of the following EXCEPT ________.

Accepted Answer

short-run sales

Question 26

A review of the sales, costs, and profit projections for a new product to find out whether they satisfy the company\'s objectives is called a ________.

Accepted Answer

business analysis

Question 27

During which stage of new-product development will management most likely estimate minimum and maximum sales to assess the range of risk in launching a new product?

Accepted Answer

business analysis

Question 28

Once managers of The Grecian Urn have decided on their product concept and marketing strategy, they can evaluate the business attractiveness of the proposal in the ________ stage of the new-product development process.

Accepted Answer

business analysis

Question 29

New World Releases is conducting a business analysis to determine which of the many new songs available to management should be released. Sales must be estimated before costs can be estimated. Which of the following did your text recommend for forecasting sales?

Accepted Answer

considering the sales history of similar products and conducting surveys of market opinions

Question 30

Once the product or service passes the business analysis test, it moves into what stage?

Accepted Answer

product development

Question 31

In the ________ stage of new-product development, products undergo rigorous tests to make sure that they perform safely and effectively or that consumers will find value in them.

Accepted Answer

product development

Question 32

In a ________, new products and marketing tactics are tested among specifically identified groups of customers and stores.

Accepted Answer

controlled test market

Question 33

In a ________, new products and marketing tactics are tested online in a virtual shopping environment.

Accepted Answer

simulated test market

Question 34

Once the prototype of Wainwright Industries\' new riding lawnmower, made especially for women, passes product tests, the next step is ________.

Accepted Answer

test marketing

Question 35

Bonneville Communications is concerned about test marketing its new device. Which of the following is NOT a disadvantage of test marketing that would likely concern Bonneville Communications?

Accepted Answer

People who are surveyed tend to tell less than the truth.

Question 36

Under what circumstances might it be wise for a company to do little or no test marketing?

Accepted Answer

when the costs of developing and introducing the product are low

Question 37

Many marketers are now using new interactive technologies, such as Frito-Lay\'s online virtual convenience store, to reduce the cost of ________.

Accepted Answer

test marketing

Question 38

The major purpose of test marketing is to provide management with the information needed to make a final decision about ________.

Accepted Answer

whether to launch the new product

Question 39

Introducing a new product into the market is called ________.

Accepted Answer

commercialization

Question 40

Which of the following costs is most likely associated with the commercialization stage of new-product development?

Accepted Answer

building or renting a manufacturing facility

Question 41

A company getting ready to launch a new product must make several decisions. The company must first decide on ________.

Accepted Answer

when to time the new product introduction

Question 42

Following the decision to \"time\" the introduction of the new product, a company must decide ________ to launch the new product.

Accepted Answer

where

Question 43

Using a ________, a company launches a product in a few regional markets and then expands based on how successful the product is.

Accepted Answer

market rollout

Question 44

Which type of new-product development process focuses on finding new ways to solve customer problems and create more customer-satisfying experiences?

Accepted Answer

customer-centered new-product development

Question 45

________ is a new-product development approach in which one company department works to complete its stage of the process before passing the new product along to the next department and stage.

Accepted Answer

product development

Question 46

In order to get their new products to market more quickly, many companies are adopting a faster, team-oriented approach called ________.

Accepted Answer

team-based new-product development

Question 47

At Fantastic Flavors, a large regional chain of candy stores, employees from marketing, design, production, and finance work in a cross-functional group to save time and money in the new-product development process. Fantastic Flavors uses a(n) ________ approach.

Accepted Answer

team-based new-product development

Question 48

The team-based new-product development approach uses cross-functional teams that overlap the steps in the process to achieve which of the following goals?

Accepted Answer

save time and increase effectiveness

Question 49

Which of the following is a disadvantage of a team-based approach to new-product development?

Accepted Answer

Organizational confusion and tension can affect the process.

Question 50

The innovation management system approach yields two favorable outcomes: it helps create an innovation-oriented company culture, and it ________.

Accepted Answer

yields a larger number of new-product ideas

Question 51

The search for new-product ideas should be ________ rather than haphazard.

Accepted Answer

systematic

Question 52

________ is the product life cycle period when sales fall off and profits drop.

Accepted Answer

Decline

Question 53

Increasing profits will most likely occur at which stage of the PLC?

Accepted Answer

growth

Question 54

Which stage in the PLC is characterized by rapid market acceptance and increasing sales?

Accepted Answer

growth

Question 55

Some products that have entered the decline stage have been cycled back to the growth stage through ________.

Accepted Answer

promotion or repositioning

Question 56

All of the following are stages in the PLC EXCEPT ________.

Accepted Answer

adoption

Question 57

Which stage of the typical consumer product life cycle is out of order below?

Accepted Answer

maturity

Question 58

Which of the following CANNOT be described using the PLC concept?

Accepted Answer

product image

Question 59

All of the following are accurate descriptions of a style EXCEPT which one?

Accepted Answer

Styles last only a short time and tend to attract only a limited following.

Question 60

Sherri\'s Exclusives sells currently accepted and popular clothing items in given fields. What does she stock in her store?

Accepted Answer

fashions

Question 61

The PLC concept can be applied by marketers as a useful framework for describing how ________.

Accepted Answer

products and markets work

Question 62

Using the PLC concept to develop marketing strategy can be difficult because strategy is both a ________ and a(n) ________ of the product\'s life cycle.

Accepted Answer

cause; result

Question 63

In which stage of the PLC will promotional expenditures be especially high in an attempt to create consumer awareness?

Accepted Answer

introduction

Question 64

In which stage of the PLC will promotional expenditures be high in an attempt to respond to increasing competition?

Accepted Answer

growth

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