Question 1

If the _____________ diffusion of innovation group is relatively small,the number of people who ultimately adopt the innovation likely will also be small.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

The answer of If the _____________ diffusion of innovation group...

Question 2

Early personal computer users remember the cumbersome,user-unfriendly "DOS" system.When Apple introduced System 1 and Microsoft introduced Windows,both of which were much easier to use,these new products diffused rapidly because of their:
A)relative advantage.
B)compatibility.
C)observability.
D)complexity.
E)trialability.

Accepted Answer

The relative advantage of Apple's System 1 and Microsoft's Windows over the DOS system was their user-friendliness and ease of use. This advantage made them more attractive to personal computer users, leading to their rapid diffusion. Compatibility, observability, complexity, and trialability may have also contributed to their success, but the relative advantage was likely the primary factor.

Question 3

Bob and George both live in the U.S.Bob recently asked for George's cell phone number,but George said he didn't have one.George would probably be considered a(n)_________________ in the diffusion of innovation process.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

Laggards are the last group to adopt new innovations, often due to skepticism or being set in traditional ways. George's lack of a cell phone suggests a resistance to adopting this technology, making him a laggard in the diffusion of innovation process.

Question 4

As soon as she saw one,Hillary wanted a flat-screen television,but she was worried about making the wrong choice.She waited until there were many alternatives in the market with lower prices and improved quality.Hillary is part of the _________________ diffusion of innovation group.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

Hillary is not an innovator, someone who is the first to try new products. She also has not waited until a technology is becoming obsolete, as a laggard would. She is not an early adopter because she waited for the market to mature and for prices to go down. Hillary is part of the early majority, those who wait to adopt once alternatives have been developed and prices have decreased.

Question 5

By the time BMW got into the mini-SUV market,sales had leveled off and were even starting to decline.BMW had to target its marketing efforts toward the _________________ diffusion of innovation group.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

The late majority diffusion of innovation group is the segment of the market that adopts an innovation after the early adopters, the early majority, and even the laggards. Given that sales had leveled off and were starting to decline when BMW entered the mini-SUV market, it suggests that the early adopters and early majority had already been targeted, and it was time to focus on converting the late majority.

Question 6

The _________________ diffusion of innovation group is the last large group of consumers to adopt a new product or service.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

The answer of The _________________ diffusion of innovation group is...

Question 7

When microwaves were new,they often cost over $300,were huge,and full of numerous settings and options.Brenda and Bart waited,concerned about potential health hazards and wishing for more choices in the market.By the time they purchased a microwave,sales had leveled off and prices had declined significantly.Brenda and Bart were part of the ____________________ diffusion of innovation group.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

The answer of When microwaves were new,they often cost over...

Question 8

Ginger is a sales rep for PuttPutt Golf Cart Company.Golf carts are a mature market.She has noted that an increasing percentage of her company's golf cart sales are to non-golfers living in active lifestyle retirement communities.She will use this insight to adjust her firm's:
A)pricing
B)promotion
C)product style
D)distribution
E)all of these

Accepted Answer

Since the insight affects the sales of the product to non-golfers in active lifestyle retirement communities, Ginger will need to adjust her firm's pricing, promotion, product style, and distribution to cater to this new market. Therefore, all of these options are necessary to meet the changing demands of the market.

Question 9

The ________________ diffusion of innovation group is crucial because few new products can be profitable until this large group buys them.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

The early majority diffusion of innovation group is typically the largest group to adopt a new product or technology. This group is crucial for the success of the product because it represents a large portion of the market and their adoption often drives further adoption by other groups. The innovators and early adopters may provide initial interest and buzz, but it is the early majority that turns a product into a profitable success.

Question 10

With an understanding of which consumers buy a firm's new products at each stage of the diffusion of innovation process,the firm can adjust its _______________ strategy accordingly.
A)pricing
B)advertising
C)sales promotion
D)distribution
E)all of these

Accepted Answer

Knowing which consumers are adopting the new product at each stage of the diffusion of innovation process can aid in determining the ideal pricing, advertising, sales promotion, and distribution strategies for each group. Therefore, the firm can adjust all of these strategies accordingly.

Question 11

For new product marketers,early adopters are important because they tend to be:
A)few in number.
B)the first to adopt a new product.
C)opinion leaders.
D)fond of prototypes.
E)alpha testing enthusiasts.

Accepted Answer

The answer of For new product marketers,early adopters are important...

Question 12

Robin recently bought Voice Over Internet protocol (VOIP)phone service (phone service delivered over the Internet).A few of Robin's friends bought VOIP before she did,but many other friends were interested in Robin's opinions of the new phone service.Robin is a(n)________________ in this product category.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

Robin bought VOIP after some of her friends but before many others, indicating that she is an early adopter. Early adopters are individuals who are considered opinion leaders and are respected by others in their community for their insights and experience with new products.

Question 13

Inkjet personal computer printers were a big improvement over the dot matrix printers they replaced.Inkjet printers gained rapid acceptance in the marketplace primarily because of their:
A)relative advantage.
B)compatibility.
C)observability.
D)complexity.
E)trialability.

Accepted Answer

Inkjet printers were a big improvement over dot matrix printers in terms of print quality, speed, and noise level. This relative advantage made it easy for consumers to switch to inkjet printers. Compatibility, observability, complexity, and trialability may have contributed to their success to some extent, but relative advantage was the primary driver.

Question 14

Brian is trying to sell a new line of ultrasound imaging equipment.Unlike existing technology,these machines are compact,creating the potential for general practice physicians to have and use them in their offices.Brian is trying to identify innovators in his market,knowing these customers will:
A)spread positive word of mouth to other physicians.
B)buy one for each office in their practices.
C)reposition his products.
D)create demand among the late majority.
E)not need any service or support when using the product.

Accepted Answer

Innovators are early adopters who are willing to take risks and try new technology. These customers are likely to spread positive word of mouth to other physicians, which can lead to increased sales and adoption of the new ultrasound imaging equipment.

Question 15

______________ is important for rapid diffusion of new products because products that are consistent with consumers' past behavior and values will be more readily accepted.
A)Relative advantage
B)Compatibility
C)Observability
D)Complexity
E)Trialability

Accepted Answer

Compatibility refers to the degree to which a new product is consistent with consumers' past behavior and values. This is important for rapid diffusion because products that are compatible with consumers' past behavior and values have a higher chance of being readily accepted by the market.

Question 16

When automobile manufacturers introduced SUVs,they distributed and promoted them in the United States,but not in Europe where gasoline is heavily taxed and roads are much smaller.Car manufacturers recognized that this new line of cars:
A)provided equivalent relative advantage for both European and U.S.customers.
B)were not compatible with European consumers' lifestyle.
C)did not provide benefits that were observable.
D)involved technology that was too complex.
E)could not be easily tried by consumers.

Accepted Answer

The passage states that SUVs were not promoted in Europe because they were not compatible with European consumers' lifestyle due to smaller roads and higher gasoline taxes. Therefore, the introduction of SUVs provided a relative advantage for U.S. customers but not for European customers.

Question 17

When John began helping his favorite uncle Burton with his finances,he discovered his uncle was still renting a rotary-dial telephone from the phone company.Uncle Burton had paid thousands of dollars in rental fees over the previous forty years.Uncle Burton is a(n)______________ in the diffusion of innovation process for telephones.
A)innovator
B)laggard
C)late majority
D)early majority
E)early adopter

Accepted Answer

Uncle Burton's continued use of a rotary-dial phone suggests that he is a laggard in the diffusion of innovation process for telephones. Laggards are typically the last to adopt new technologies and are often content with using older, more established technologies for longer periods of time.

Question 18

Janet is an avid marathon runner.She is what marketers would call an innovator.Janet is likely to:
A)own the newest,most advanced running shoes available.
B)attend or participate in the famous national marathons.
C)subscribe to newsletters about the latest marathon-running health and nutrition information.
D)have a number of marathon running links bookmarked on her computer.
E)all of these.

Accepted Answer

Innovators are early adopters of new products, ideas or technology. Therefore, Janet is likely to do all of the above as they reflect her interest in staying up-to-date with the latest in marathon running.

Question 19

Laptop computers,personal digital assistants,and cellular phones were all readily accepted and diffused in U.S.markets where business and personal lifestyles tend to be faster-paced,compared to many other areas in the world.These products offered _____________ with consumers' needs and priorities.
A)relative positioning
B)compatibility
C)observability
D)complexity
E)trialability

Accepted Answer

Compatibility refers to how well a new product fits into consumers' existing routines, needs, and priorities. Laptop computers, personal digital assistants, and cellular phones were readily accepted and diffused in U.S. markets because they were compatible with the faster-paced business and personal lifestyles of consumers in those markets.

Question 20

The diffusion of innovation theory is useful to marketers in helping them:
A)adjust to the performance life cycle.
B)avoid the cost of concept testing.
C)predict which types of customers will buy their product immediately and later.
D)predict how long it will take for a new product to gain market acceptance.
E)forecast sales for a new product.

Accepted Answer

The answer of The diffusion of innovation theory is useful...

Quiz 11: Developing New Products

If the _____________ diffusion of innovation group is relatively small,the number of people who ultimately adopt the innovation likely will also be small.

Early personal computer users remember the cumbersome,user-unfriendly "DOS" system.When Apple introduced System 1 and Microsoft introduced Windows,both of which were much easier to use,these new products diffused rapidly because of their:

Bob and George both live in the U.S.Bob recently asked for George's cell phone number,but George said he didn't have one.George would probably be considered a(n) _________________ in the diffusion of innovation process.

As soon as she saw one,Hillary wanted a flat-screen television,but she was worried about making the wrong choice.She waited until there were many alternatives in the market with lower prices and improved quality.Hillary is part of the _________________ diffusion of innovation group.

By the time BMW got into the mini-SUV market,sales had leveled off and were even starting to decline.BMW had to target its marketing efforts toward the _________________ diffusion of innovation group.

The _________________ diffusion of innovation group is the last large group of consumers to adopt a new product or service.

Ginger is a sales rep for PuttPutt Golf Cart Company.Golf carts are a mature market.She has noted that an increasing percentage of her company's golf cart sales are to non-golfers living in active lifestyle retirement communities.She will use this insight to adjust her firm's:

The ________________ diffusion of innovation group is crucial because few new products can be profitable until this large group buys them.

With an understanding of which consumers buy a firm's new products at each stage of the diffusion of innovation process,the firm can adjust its _______________ strategy accordingly.

For new product marketers,early adopters are important because they tend to be:

Inkjet personal computer printers were a big improvement over the dot matrix printers they replaced.Inkjet printers gained rapid acceptance in the marketplace primarily because of their:

Brian is trying to sell a new line of ultrasound imaging equipment.Unlike existing technology,these machines are compact,creating the potential for general practice physicians to have and use them in their offices.Brian is trying to identify innovators in his market,knowing these customers will:

______________ is important for rapid diffusion of new products because products that are consistent with consumers' past behavior and values will be more readily accepted.

When automobile manufacturers introduced SUVs,they distributed and promoted them in the United States,but not in Europe where gasoline is heavily taxed and roads are much smaller.Car manufacturers recognized that this new line of cars:

Janet is an avid marathon runner.She is what marketers would call an innovator.Janet is likely to:

Laptop computers,personal digital assistants,and cellular phones were all readily accepted and diffused in U.S.markets where business and personal lifestyles tend to be faster-paced,compared to many other areas in the world.These products offered _____________ with consumers' needs and priorities.

The diffusion of innovation theory is useful to marketers in helping them: