Question 1

Which stage of the new-product development process is usually the most expensive for new products?
A)idea screening
B)business analysis
C)product launch
D)product development
E)test marketing

Accepted Answer

The answer of Which stage of the new-product development process...

Question 2

The process by which new products are likely to be adopted, the rate at which they will be adopted, and the process through which the products will spread into markets is referred to as
A)diffusion.
B)time to market.
C)distribution.
D)planned obsolescence.
E)circulation.

Accepted Answer

The answer of The process by which new products are...

Question 3

A company that is introducing a new product in its final form to a geographically limited market to see how well the product sells and to get reactions from potential users is engaged in
A)concept testing.
B)test marketing.
C)idea screening.
D)product screening.
E)concept marketing.

Accepted Answer

The answer of A company that is introducing a new...

Question 4

When categorizing risk in new-product development, the highest level of risk occurs when
A)inadequate supply of materials delays production.
B)competitors copy products and sell them at a lower price.
C)the product fails to generate sales.
D)supplier cost savings are not achieved.
E)the product takes sales away from existing products.

Accepted Answer

The answer of When categorizing risk in new-product development, the...

Question 5

A product that uses less energy to operate or can be recycled when the consumer is finished using it, it said to have
A)a green design.
B)a sustainable design.
C)an organic design.
D)an ethical design.
E)an environmental design.

Accepted Answer

A green design is a product that uses less energy to operate or can be recycled when the consumer is finished using it.

Question 6

The practice in which companies frequently come out with new models of a product that make existing models obsolete is an ethical issue related to new-product development and is termed
A)diffusion.
B)bait-and-switch.
C)time to market.
D)planned obsolescence.
E)diversion.

Accepted Answer

Planned obsolescence is the practice where companies design or plan their products to become obsolete or out of use after a certain period to encourage consumers to purchase new models or versions. This strategy can lead to ethical concerns regarding sustainability and consumer rights.

Question 7

During which stage of the new-product development process would a firm test the marketing strategy related to the new product?
A)product launch
B)idea screening
C)business analysis
D)test marketing
E)product development

Accepted Answer

The answer of During which stage of the new-product development...

Question 8

Nestor is considered to be tech savvy by his friends. He is unafraid to take risks when it comes to trying new products and is always the first in his group to get the latest gizmo. What type of product adopter is Nestor?
A)late majority
B)innovator
C)early majority
D)early adopter
E)laggard

Accepted Answer

The answer of Nestor is considered to be tech savvy...

Question 9

Which sequence accurately represents the steps in the consumer adoption process?
A)interest, evaluation, comparison, trial, and adoption
B)awareness, research, comparison, evaluation, and adoption
C)interest, comparison, evaluation, trial, and adoption
D)awareness, evaluation, trial, adoption, and feedback
E)awareness, interest, evaluation, trial, and adoption

Accepted Answer

The answer of Which sequence accurately represents the steps in...

Question 10

The term time to market refers to
A)the time it takes to develop a product.
B)how long a company spends test-marketing a product.
C)the time it takes the marketing department to develop an advertising campaign.
D)the time a new product spends on the market before becoming accepted by the public.
E)the speed with which a company launches a product.

Accepted Answer

The answer of The term time to market refers to
A)the...

Question 11

In what stage of the new-product development process would a company make a prototype of the product?
A)product launch
B)product development
C)idea screening
D)test marketing
E)idea generation

Accepted Answer

During the product development stage, a company creates a prototype of the product. This allows the company to explore the feasibility of production and further refine the product before it is launched in the market.

Question 12

When Hasbro comes up with an idea for a new toy, it needs to ensure that the children who play with the toy will not choke on any of its parts and that the toy in general will not be a hazard to the children who will be using it. In what stage of the new-product development process will these safety checks occur?
A)idea generation
B)product development
C)idea screening
D)product launch
E)test marketing

Accepted Answer

During the product development stage, a prototype is created, and safety checks are conducted to ensure the product is safe for its intended users. This includes making sure that children will not choke on any parts of a toy.

Question 13

The most common ethical issue in new-product development involves the Federal Trade Commission's definition of the term
A)healthier.
B)guaranteed.
C)better.
D)new.
E)improved.

Accepted Answer

The answer of The most common ethical issue in new-product...

Question 14

What type of adopter is typically well respected by their peers and sought by marketers because they tend to be opinion leaders who are willing to talk to other people about their experiences with their purchases?
A)early adopter
B)innovator
C)late majority
D)early majority
E)laggard

Accepted Answer

Early adopters are well respected by their peers and are often opinion leaders. They are willing to adopt new products early but after they have been tested by the innovators. Marketers target them because their opinions can influence the purchasing decisions of others.

Question 15

Which statement reflects a way that companies can reduce the risk of new-product failure?
A)realize that failure is not an option
B)understand current market trends to anticipate demand
C)know that it is impossible to anticipate changes in the market
D)skip steps in the development process to market a product sooner
E)focus on the needs of the firm more than the needs of the customer

Accepted Answer

The answer of Which statement reflects a way that companies...

Question 16

Jacqueline is in the market for a new laptop. She has spent quite a bit of time gathering information and thinking about the purchase. She has asked her friends for opinions about the models they own and is happy that there are a lot of models to choose from. Jacqueline is most likely what type of adopter?
A)early majority
B)early adopter
C)innovator
D)laggard
E)late majority

Accepted Answer

Jacqueline's behavior of gathering information, seeking opinions, and being happy about the variety indicates she is in the "early majority" category. This group typically does some research and waits to see how a product performs before making a purchase, unlike innovators or early adopters who are the first to try new products.

Question 17

A good or a service will likely fail to be profitable if which adopter does not purchase the product?
A)early majority
B)late majority
C)early adopter
D)innovators
E)laggards

Accepted Answer

The answer of A good or a service will likely...

Question 18

Laughlin wants to join a new health club. His roommate belongs to a club that Laughlin heard about on the radio. He decides to use his roommate's free guest passes to try out the club to see if it meets his needs. What stage of the consumer adoption process does this represent?
A)interest
B)trial
C)comparison
D)adoption
E)awareness

Accepted Answer

Trial is the stage in the consumer adoption process where consumers actually experience or use the product or service to assess its value. Laughlin using his roommate's free guest passes to try out the health club is an example of this stage, as he is testing the club to see if it meets his needs.

Question 19

If a firm builds a mock shopping experience for participants to observe their response to marketing stimuli, this is referred to as a
A)prototype.
B)trial test market.
C)concept test market.
D)focus group.
E)simulated test market.

Accepted Answer

The answer of If a firm builds a mock shopping...

Question 20

Read the following list of tasks and select the one that does not take place during the product launch stage.
A)manufacture enough of the good to fill distribution pipelines
B)hire and train employees
C)purchase the materials to make and package the good
D)prepare internal systems for taking service orders
E)make sure the product can be manufactured at a cost low enough to generate profits

Accepted Answer

The task of ensuring the product can be manufactured at a cost low enough to generate profits is typically addressed during the product development or planning stages, not during the product launch stage.

Quiz 6: Product Development

Which stage of the new-product development process is usually the most expensive for new products?

The process by which new products are likely to be adopted, the rate at which they will be adopted, and the process through which the products will spread into markets is referred to as

A company that is introducing a new product in its final form to a geographically limited market to see how well the product sells and to get reactions from potential users is engaged in

When categorizing risk in new-product development, the highest level of risk occurs when

A product that uses less energy to operate or can be recycled when the consumer is finished using it, it said to have

The practice in which companies frequently come out with new models of a product that make existing models obsolete is an ethical issue related to new-product development and is termed

During which stage of the new-product development process would a firm test the marketing strategy related to the new product?

Nestor is considered to be tech savvy by his friends. He is unafraid to take risks when it comes to trying new products and is always the first in his group to get the latest gizmo. What type of product adopter is Nestor?

Which sequence accurately represents the steps in the consumer adoption process?

The term time to market refers to

In what stage of the new-product development process would a company make a prototype of the product?

The most common ethical issue in new-product development involves the Federal Trade Commission's definition of the term

What type of adopter is typically well respected by their peers and sought by marketers because they tend to be opinion leaders who are willing to talk to other people about their experiences with their purchases?

Which statement reflects a way that companies can reduce the risk of new-product failure?

A good or a service will likely fail to be profitable if which adopter does not purchase the product?

Laughlin wants to join a new health club. His roommate belongs to a club that Laughlin heard about on the radio. He decides to use his roommate's free guest passes to try out the club to see if it meets his needs. What stage of the consumer adoption process does this represent?

If a firm builds a mock shopping experience for participants to observe their response to marketing stimuli, this is referred to as a

Read the following list of tasks and select the one that does not take place during the product launch stage.