Question 1

Which of the following statements about simultaneous product development is FALSE?
A)Simultaneous product development refers to the practice of developing multiple new products at the same time.
B)With simultaneous product development,all relevant functional areas and outside suppliers participate in all stages of the development process.
C)All departments within the company work together at the same time,but to maintain a high level of secrecy,no one outside the company is involved in simultaneous product development.
D)Simultaneous product development actually increases the length of time it takes to get a product to market and the time the product will stay in the growth stage of its product life cycle.
E)The Internet has not yet proven to be a useful tool for implementing simultaneous product development.

Accepted Answer

The Internet has indeed proven a useful tool for this process.

Question 2

In the _____ stage of new-product development,the technical feasibility of manufacturing the new product is examined as a prototype is produced.
A)screening
B)development
C)market testing
D)concept testing
E)business analysis

Accepted Answer

During the development stage,the technical feasibility of manufacturing the product at a reasonable cost is thoroughly examined.This stage can be long and expensive and can involve a great deal of testing.Products are often modified after the testing.

Question 3

The maker of Purell hand sanitizer tested consumers' reactions to its Purell Sanitizing Wipes by getting consumers to look through a newspaper with grocery store ads,make out a grocery list,and then "shop" in a mock store filled with real products,including the new product.This is an example of a(n):
A)adoption-rate test
B)simulated (laboratory)market test
C)concept test
D)use test
E)juried consumer test

Accepted Answer

Simulated (laboratory)market tests typically entail showing members of the target market advertising for a variety of products and then monitoring purchase behavior in a mock or real store.

Question 4

The accuracy of revenue projections for products are affected by:
A)the newness of the product.
B)the size of the market.
C)the nature of the competition.
D)all of the above.
E)none of the above.

Accepted Answer

The newness of the product,the size of the market,and the nature of the competition all affect the accuracy of revenue projections.

Question 5

The final stage in the new-product development process is:
A)product testing
B)market testing
C)commercialization
D)product prototyping
E)simulated marketing

Accepted Answer

Commercialization is the decision to market a product.

Question 6

During the _____ stage of the new-product development process,production starts,inventories are built up,the product is shipped to distribution points,the sales force is trained,and advertising and promotion begin.
A)commercialization
B)product testing
C)market analysis
D)product prototyping
E)simulated marketing

Accepted Answer

The commercialization stage is the decision to market a product and sets several task in motion.

Question 7

A team-oriented approach to new-product development is referred to as:
A)simultaneous product development
B)synergistic product development
C)commercialized product development
D)synchronized product development
E)parallel product development

Accepted Answer

The development process works best when all the involved areas (research and development,marketing,engineering,production,and even suppliers)work together rather than sequentially,a process call simultaneous product development.

Question 8

After Mattel evaluated many new products to add to its Barbie product line and before any prototype was created,the toy manufacturer instructed a committee to select three of the ideas to present to a group of consumers.The consumer group was asked to evaluate the ideas in terms of their marketability.This stage of new-product development is called:
A)prototype screening
B)concept testing
C)market testing
D)idea manipulation
E)idea diffusing

Accepted Answer

Concept tests evaluate new-product ideas usually before any prototype has been created.

Question 9

The main goal of the global product development process is to:
A)come up with a single standard product or product line suitable for all global markets
B)expand the number of different new-product offerings so that individual country needs are more likely to be met
C)develop every product for potential worldwide distribution and adaptation to other countries
D)come up with new-product ideas in the United States and use global markets as test markets
E)repeat the steps in the process with marketing teams in each and every foreign country targeted

Accepted Answer

Multinational companies develop each product for potential worldwide usage,with minor unique requirements incorporated.

Question 10

In the _____ stage of new-product development,preliminary demand,cost,sales,and profitability estimates are made.
A)prototype screening
B)idea generation
C)concept testing
D)post-brainstorming
E)business analysis

Accepted Answer

New-product ideas that survive the initial screening process move to the business analysis stage,where preliminary figures for demand,cost,sales,and profitability are calculated.

Question 11

_____ is a limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation.
A)Use testing
B)Test marketing
C)Concept testing
D)Laboratory testing
E)Discontinuous innovation

Accepted Answer

After products and marketing programs have been developed,they are usually tested in the marketplace using test marketing,which is the limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation.

Question 12

The MOST important factor in successful new-product introduction is:
A)a good match between the product and market needs.
B)strong company leadership.
C)an obsession with quantity rather than quality
D)project-based team approach to new-product development.
E)history of carefully listening to customers.

Accepted Answer

All of the factors listed are important,but the most important is a good match between the product and market needs-as the marketing concept would predict.

Question 13

A(n)_____ typically entails showing members of the product's target market advertising and other promotional materials for several products,including the test product.These people are then taken to a mock or real store,where their purchases are recorded.
A)adoption-rate test
B)real test market
C)concept test
D)simulated (laboratory)market test
E)consumer juried test

Accepted Answer

This is a description of a simulated (laboratory)market test.

Question 14

Which of the following has been found to be an efficient substitute for traditional methods of conducting test markets?
A)Product sampling
B)Simulated product adoption
C)Online test marketing
D)Simulated diffusion
E)Market concentration

Accepted Answer

The text describes Proctor & Gamble's online test marketing.

Question 15

A product that is perceived as new by a potential adopter,whether the product is "new to the world" or simply new to the individual,is called a(n):
A)innovation
B)diffusion
C)discontinuous product
D)laggard
E)simulated new product

Accepted Answer

An innovation is a product perceived as new by a potential adopter.

Question 16

When selecting a test market city,a researcher should look for a city:
A)where the demographics and purchasing habits mirror the overall market for the product.
B)that has media spillover from other cities to increase media alternatives.
C)that is as large as possible.
D)that has limited distribution.
E)where there is no competition.

Accepted Answer

Test marketing is a limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation.The market city should be similar to the overall market for accuracy of results.

Question 17

Jeni's Splendid Ice Creams has decided to put its new Beet Cake with Black Walnut ice cream on the market.This product has entered the _____ stage of new-product development.
A)business analysis
B)development
C)test marketing
D)commercialization
E)research and development

Accepted Answer

Commercialization is the decision to market a product.

Question 18

Which of the following questions is NOT likely to be asked during the business analysis stage?
A)What is the likely demand for the product?
B)Which celebrity spokesperson can we hire to promote the product?
C)Would current customers benefit from the product?
D)What is the risk of failure?
E)What new facilities would be needed?

Accepted Answer

In the business analysis stage,preliminary figures for demand,cost,sales,and profitability are calculated.Finding an appropriate spokesperson is not a concern at this stage.

Question 19

Roger has lots of nice photos of his family on his digital camera and wishes he could display them on his desk at work without having to print them out.A coworker told him that he could purchase a digital photo frame to download and display his digital photos.Because Roger did not know such a product existed,digital photo frames represented a(n)_____ to him.
A)heterogeneous shopping product
B)diffusion
C)market laggard
D)product diversification
E)innovation

Accepted Answer

An innovation is a product perceived as new by a potential adopter.

Question 20

_____ evaluate new-product ideas usually before any prototype has been created.
A)Concept tests
B)Simulated market tests
C)Market tests
D)User tests
E)Venture analyses

Accepted Answer

Concepts test are often used at the screening stage to rate concept (or product)alternatives.

Quiz 11: Developing and Managing Products

Which of the following statements about simultaneous product development is FALSE?

In the _____ stage of new-product development,the technical feasibility of manufacturing the new product is examined as a prototype is produced.

The accuracy of revenue projections for products are affected by:

The final stage in the new-product development process is:

During the _____ stage of the new-product development process,production starts,inventories are built up,the product is shipped to distribution points,the sales force is trained,and advertising and promotion begin.

A team-oriented approach to new-product development is referred to as:

The main goal of the global product development process is to:

In the _____ stage of new-product development,preliminary demand,cost,sales,and profitability estimates are made.

_____ is a limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation.

The MOST important factor in successful new-product introduction is:

A(n) _____ typically entails showing members of the product's target market advertising and other promotional materials for several products,including the test product.These people are then taken to a mock or real store,where their purchases are recorded.

Which of the following has been found to be an efficient substitute for traditional methods of conducting test markets?

A product that is perceived as new by a potential adopter,whether the product is "new to the world" or simply new to the individual,is called a(n) :

When selecting a test market city,a researcher should look for a city:

Jeni's Splendid Ice Creams has decided to put its new Beet Cake with Black Walnut ice cream on the market.This product has entered the _____ stage of new-product development.

Which of the following questions is NOT likely to be asked during the business analysis stage?

_____ evaluate new-product ideas usually before any prototype has been created.