Question 1

Exploring technology and market drivers separately, then seeing their value when taken in combination is often called the _____.

Accepted Answer

The term used for exploring technology and market drivers separately, then seeing their value when taken in combination is "dual-drive idea". None of the other options accurately describe this concept.

Question 2

The procedure of converting technical specifications, to product features and benefits, to market needs is called the _____.

Accepted Answer

The T-P-M linkage stands for Technology-Product-Market linkage, a process that involves converting technical specifications (Technology) into product features and benefits (Product), and then aligning those features and benefits with market needs (Market). This approach ensures that technological developments are directly tied to creating value for customers and meeting market demands.

Question 3

The problem of scope creep faced by a new product team in an organization is most likely to occur when:

Accepted Answer

Scope creep is defined as the gradual expansion of project scope beyond its original goals and objectives. This can happen when the definition of the project constantly keeps changing, leading to an increase in the workload and timeline of the project. Options A and B relate to the communication and dissemination of the project initiation document (PIC), which is a tool used to prevent scope creep. However, they are not directly related to the occurrence of scope creep. Option D suggests that senior management's involvement can prevent scope creep, but this is not always the case. Hence, the most likely reason for scope creep is the constantly changing definition of the project, and option C is the best answer.

Question 4

Identify the situation associated with the greatest amount of innovativeness risk.

Accepted Answer

Major changes in both operations/marketing and consumer use behavior present the greatest amount of innovativeness risk because it involves significant changes in both the internal and external components of a business. This requires more resources, planning, and coordination to manage and implement these changes successfully. Additionally, major changes in consumer use behavior can be unpredictable and difficult to anticipate, which adds to the level of risk involved.

Question 5

Which of the following is a variation on the single-customer focus where each customer is offered a product of his or her individual choice?

Accepted Answer

Mass customization is the variation on the single-customer focus where each customer is offered a product of his or her individual choice. Mass production refers to the process of producing large quantities of identical products, while mass standardization involves producing a limited range of standardized products. Mass advertising, on the other hand, refers to the promotion of a product or service to a large audience through various media channels.

Question 6

A single overall plan for a product industry is typically known as a _____ platform.

Accepted Answer

The answer of A single overall plan for a product...

Question 7

Which of the following, if implemented, will most likely ensure that the product innovation charter (PIC) is effective?

Accepted Answer

A PIC prepared by senior management to define the role and scope of innovation would provide clear guidance and direction for the innovation team. This ensures that the innovation activities are aligned with the organization's overall strategy and goals, and senior management support helps in overcoming potential barriers to innovation.

Question 8

Which of the following statements is true of a product innovation charter (PIC)?

Accepted Answer

A product innovation charter (PIC) is designed to provide guidance to the business units on the role of innovation. It is not typically prepared by middle-level managers, and it is not primarily focused on processes and other activities. It can be thought of as a kind of vision statement that is applied at the macro level, but this is not the main purpose of a PIC.

Question 9

Many futurists advocate studying the emerging trends in society and deriving product opportunities from them. A team of experts from the consulting firm Social Technologies identified six important and provocative modern trends. One of these trends is "The transparent self." Which of the following observations is primarily associated with this trend?

Accepted Answer

"The transparent self" trend refers to the increasing amount of personal information that is available to others, including product managers. This is primarily associated with option A. Option B refers to real-time decision making, which is not directly related to the transparent self trend. Option C refers to heightened sensory awareness, which is not directly related to the transparent self trend. Option D refers to the blurring of virtual and real-world spaces, which is not directly related to the transparent self trend.

Question 10

Any "rules of the road" requirements imposed by a situation or by upper management form a part of the _____ section of a PIC.

Accepted Answer

Guidelines are specific rules or instructions that form a part of the PIC's guidelines section, which outlines any rules of the road requirements imposed by a situation or upper management. The background section discusses the history and context of the project, the focus section outlines the project's scope and objectives, and the goals-objectives section outlines the project's specific goals and measurable objectives.

Question 11

The best new product ideas are based on _____, which serve as the heart of the concept generation process.

Accepted Answer

The best new product ideas typically arise from identifying and solving customer problems. This approach focuses on meeting customers' needs and creating solutions to their pain points, rather than simply aiming for profit goals or manufacturing efficiencies. By understanding customers' challenges and desires, businesses can develop innovative products that effectively meet their needs, thus leading to greater success and profitability.

Question 12

_____ is a way of executing a first-to-market strategy.

Accepted Answer

A state-of-the-art breakthrough is a way of executing a first-to-market strategy by developing an innovative product or technology that has not yet been introduced to the market. By being the first to offer this new product or technology, a company can gain a competitive advantage and establish themselves as a market leader.

Question 13

A computer services firm decides to diversify in the field of cosmetics. According to the product market matrix, the innovativeness risk in this case could be _____.

Accepted Answer

Diversifying into a completely different field, such as cosmetics for a computer services firm, represents a high level of innovativeness risk. This is because the firm is moving into an unfamiliar market with new products, which involves significant uncertainties and challenges.

Question 14

In the context of new product arena, focus is generally achieved by the use of four types of strengths or leverage capabilities. Which of the following is one of those strengths?

Accepted Answer

End-use experience is a strength that can be leveraged in the new product arena, as it involves understanding and utilizing the knowledge of how products are used by consumers to improve or innovate new products.

Question 15

A manufacturer of ice creams introduces a new mint and lime flavored ice cream. According to the product/market matrix, the amount of innovativeness risk that the firm brings with this new flavor would be _____.

Accepted Answer

Mint and lime may not be a common flavor combination, but it is not entirely new or untested. Therefore, the innovativeness risk is low.

Question 16

Which of the following is the most common way to execute a first-to-market strategy?

Accepted Answer

The answer of Which of the following is the most...

Question 17

Many futurists advocate studying the emerging trends in society and deriving product opportunities from them. A team of experts from the consulting firm Social Technologies identified six important and provocative modern trends. Which of these trends is most likely to influence consumers to make spur-of-the-moment decisions?

Accepted Answer

Just-in-time life refers to the trend of consumers wanting instant gratification and convenience in their lives. This could lead them to make spur-of-the-moment decisions, such as impulse purchases or last-minute travel arrangements, that cater to this need for immediate satisfaction.

Question 18

Identify the section of the product innovation charter (PIC) which recaps the analysis behind the preparation of the charter.

Accepted Answer

The background section of the PIC usually includes a summary of the analysis that was conducted prior to creating the charter, such as market research, customer needs analysis, and competitive analysis. It serves as a recap to provide context for the rest of the charter.

Question 19

A famous fast-food joint is offering all its regular customers a product of their individual choice through the program, "Have It Your Way". This is an example of:

Accepted Answer

The program "Have It Your Way" is an example of mass customization, as it allows customers to personalize their orders according to their preferences. Mass customization is a production strategy that combines the benefits of mass production techniques with those of customization.

Question 20

Using glue to replace metal fasteners in electronics and automotive products best exemplifies _____.

Accepted Answer

Applications engineering involves finding new uses or applications for existing technologies or products, such as using glue instead of traditional metal fasteners in various industries.

Quiz 3: Opportunity Identification and Selection: Strategic Planning for New Products