Question 1

Once the product or service passes the business analysis test,it moves into what stage?
A) concept development
B) product development
C) market testing
D) strategy development
E) product proposal

Accepted Answer

Once the product or service passes the business analysis test, it moves into the product development stage where the actual creation and development of the product takes place.

Question 2

The third part of the marketing strategy statement includes all of the following EXCEPT ________.
A) long-run sales
B) profit goals
C) marketing mix strategies
D) short-run sales
E) A and C

Accepted Answer

The third part of the marketing strategy statement includes long-run sales, profit goals, and marketing mix strategies. It does not include short-run sales, as this is a more tactical and immediate goal rather than a long-term strategy.

Question 3

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.
A) business analysis
B) idea generation
C) concept development and testing
D) product development
E) marketing mix

Accepted Answer

The product development stage is where products undergo rigorous tests to ensure safety, effectiveness, and value for consumers.

Question 4

The major purpose of test marketing is to provide management with the information needed to make a final decision about ________.
A) how to develop a market strategy
B) which market to compete in
C) whether to launch the new product
D) how to compete in the market
E) how long to compete in the market

Accepted Answer

The major purpose of test marketing is to provide management with the information needed to make a final decision about whether to launch the new product. Test marketing allows a company to evaluate how well the product will be received by potential customers, identify any issues or concerns, and determine whether to move forward with a full launch or make any necessary changes before launching.

Question 5

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?
A) conducting surveys of competitors
B) considering the history of market opinions
C) considering the sales history of similar products and conducting surveys of market opinions
D) applying the PLC concept
E) none of the above

Accepted Answer

The text recommended considering the sales history of similar products and conducting surveys of market opinions for forecasting sales, as this approach takes into account both past performance and current consumer preferences. Considering the history of market opinions and applying the PLC concept may also be helpful, but conducting surveys of competitors was not recommended in the text.

Question 6

The first part of the marketing strategy statement describes the target market; the planned product positioning; and goals for sales,profits,and ________.
A) market share
B) product longevity
C) secondary markets
D) promotional mixes
E) life-cycle duration

Accepted Answer

The first part of the marketing strategy statement typically includes the target market, planned product positioning, and goals for sales, profits, and market share. Market share refers to the percentage of total sales in a particular market that are held by a company or brand, so it is the best choice to complete the sentence.

Question 7

In a ________,new products and marketing tactics are tested online in a virtual shopping environment.
A) controlled test market
B) simulated test market
C) standard test market
D) random test market
E) single-city test market

Accepted Answer

Simulated test market is the type of market where new products and marketing tactics are tested online in a virtual shopping environment. In this type of market, consumers are shown product prototypes, packaging designs, and advertising concepts, and are asked to react and provide feedback. This allows companies to test their products and marketing tactics before they are launched on a larger scale. The other options listed are different types of test markets but do not involve an online virtual shopping environment.

Question 8

Under what circumstances might it be wise for a company to do little or no test marketing?
A) when a new product requires a major investment
B) when management is not sure of the product
C) when management is not sure of the marketing program
D) when the product has no substitutes and is new in its category
E) when the costs of developing and introducing the product are low

Accepted Answer

The answer of Under what circumstances might it be wise...

Question 9

Asian Net Communications is concerned about test marketing its new device.Which of the following is NOT a disadvantage of test marketing that would likely concern Asian Net Communications?
A) Test marketing costs can be high.
B) It can take a lot of time to test market.
C) Test marketing allows time for competitors to spy and gain advantages.
D) People who are surveyed tend to tell less than the truth.
E) Test marketing does not guarantee success.

Accepted Answer

People who are surveyed tend to tell less than the truth is not a disadvantage of test marketing.

Question 10

Which of the following costs is most likely associated with the commercialization stage of new-product development?
A) building or renting a manufacturing facility
B) paying groups of target customers for product feedback
C) determining the product's planned price, distribution, and marketing budget
D) developing a prototype of the product
E) identifying target markets

Accepted Answer

During the commercialization stage, a company prepares for full-scale production and market launch, which often involves building or renting a manufacturing facility to produce the product at scale.

Question 11

In a ________,new products and marketing tactics are tested among specifically identified groups of customers and stores.
A) controlled test market
B) simulated test market
C) standard test market
D) random test market
E) single-city test market

Accepted Answer

A controlled test market is a type of market testing where new products and marketing strategies are tested among specific groups of customers and stores. In this type of market testing, the test is controlled by the marketer in terms of selecting stores, determining distribution, and promotion. This enables the marketer to closely monitor the test and to obtain accurate results. The controlled test market is particularly useful when it is difficult to obtain a representative sample of the target market, or when there are significant variations in the market that need to be accounted for.

Question 12

The second part of the marketing strategy statement outlines the product's planned price,distribution,and ________ for the first year.
A) advertising
B) promotional mix
C) marketing budget
D) positioning
E) target market

Accepted Answer

The answer of The second part of the marketing strategy...

Question 13

Marketers are also using online simulated marketing technologies to reduce the costs of ______________ and speed up the process.
A) test marketing
B) focus group surveys
C) commercialization
D) post-testing
E) business analysis

Accepted Answer

Online simulated marketing technologies allow marketers to test their products more quickly and at a lower cost than traditional methods such as focus group surveys or post-testing. This can speed up the process of test marketing, which is the process of introducing a product to a limited market to gauge its potential success before launching it on a larger scale.

Question 14

Many marketers are now using new interactive technologies such as P&G's online virtual convenience store,to reduce the cost of ________.
A) concept development
B) concept testing
C) commercialization
D) product development
E) test marketing

Accepted Answer

Interactive technologies like online virtual stores are used to reduce the cost of test marketing by simulating real-world shopping experiences and gathering consumer feedback without the expense of physical test markets.

Question 15

For some ________,a simple description consisting of a word or picture might be sufficient.
A) concept tests
B) test markets
C) marketing strategies
D) product developments
E) business analyses

Accepted Answer

Concept tests are typically used to gauge initial reactions to a product or idea. In this case, a simple description or visual might be enough to elicit useful feedback. Test markets, marketing strategies, product developments, and business analyses all typically require more detailed information and analysis.

Question 16

Introducing a new product into the market is called ________.
A) test marketing
B) new product development
C) experimenting
D) commercialization
E) marketing development

Accepted Answer

Introducing a new product into the market is called commercialization.

Question 17

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.
A) business feasibility
B) feasibility study
C) business analysis
D) product acceptance
E) concept testing

Accepted Answer

The business attractiveness of the proposal is evaluated in the business analysis stage of the new-product development process. This involves analyzing the potential demand, costs, and profitability of the product concept and marketing strategy. The other options are not relevant to evaluating business attractiveness.

Question 18

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?
A) concept testing
B) marketing strategy development
C) business analysis
D) product development
E) test marketing

Accepted Answer

During the business analysis stage of new-product development, management typically estimates minimum and maximum sales to assess the range of risk in launching a new product. This involves reviewing the production and marketing costs for the product, estimating sales volume and revenue, and analyzing the potential profitability and return on investment.

Question 19

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 ________.
A) business feasibility plan
B) marketing strategy development
C) business analysis
D) product acceptance
E) proposal

Accepted Answer

The review of sales, costs, and profit projections for a new product is called a business analysis. It is a crucial step in determining whether the product is feasible and meets the company's objectives. A business feasibility plan typically includes a business analysis but may also involve market research, a competitive analysis, and a financial analysis. Marketing strategy development, product acceptance, and proposal are all related to the product launch process but do not specifically refer to the sales, costs, and profit projections review.

Question 20

After concept testing,a firm would engage in which stage in developing and marketing a new product?
A) idea screening
B) marketing strategy development
C) business analysis
D) product development
E) test marketing

Accepted Answer

After concept testing, the next stage in developing and marketing a new product would be marketing strategy development. In this stage, the firm would analyze the market and competition to develop a comprehensive marketing plan for the product, including identifying the target market, positioning the product, and determining the marketing mix (the 4 Ps: product, price, promotion, and place).

Quiz 9: New Product Development and Product Life-Cycle Strategies

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

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

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.

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

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?

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

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

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

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

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

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

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

Marketers are also using online simulated marketing technologies to reduce the costs of ______________ and speed up the process.

Many marketers are now using new interactive technologies such as P&G's online virtual convenience store,to reduce the cost of ________.

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

Introducing a new product into the market is called ________.

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.

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?

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 ________.

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