Question 1

Among the late majority group,from what does adoption of a product primarily result?

Accepted Answer

The late majority group tends to rely heavily on word-of-mouth communications before adopting a product. They are cautious and skeptical of new products and prefer to wait until they see others using it successfully before trying it themselves. Therefore, personal recommendations from friends, family, or colleagues hold a lot of weight for this group.

Question 2

Which type of test typically entails showing members of the product's target market advertising and other promotional materials for several products,including the test product,then taking these people to a mock or real store where their purchases are recorded?

Accepted Answer

This type of test is known as a simulated (laboratory) market test, where participants are exposed to advertising and promotional materials and then brought to a mock or real store environment to make purchases that are recorded. Adoption-rate tests evaluate the rate at which product adoption occurs, concept tests evaluate the market appeal and viability of a product, and consumer juried tests involve a panel of consumers evaluating a product.

Question 3

The maker of Skittles candy tested and prepared hundreds of batches of candy for taste-testers,who were employees of the company.The taste-testers were instructed to identify the best formula for mint-flavoured Skittles.What type of test was used?

Accepted Answer

Laboratory tests are conducted on prototype products during the development stage.

Question 4

What is the term for the spread of a new idea from its source of invention or creation to its ultimate users or adopters?

Accepted Answer

Diffusion is the process by which a new idea, product or technology spreads from its source of invention or creation to its ultimate users or adopters. Circulation refers to the act of moving something in a circular motion or distributing something widely, but it does not necessarily imply the spread of a new idea. Transmission refers to the communication of information or signals, but it is more commonly used in reference to the spread of disease or infections. Dissemination refers to the spreading of information or knowledge to a wide audience, but it is not specifically tied to the spread of a new idea from its source to users or adopters.

Question 5

During which stage of the new-product development process,does production start,inventories are built up,the product is shipped to distribution points,the sales force is trained,and advertising and promotion begin?

Accepted Answer

The commercialization stage typically involves the launch of a new product into the market, where production, inventory building, shipping, sales force training and advertising/promotion begin. This stage comes at the end of the new-product development process, after market analysis, product testing and simulated marketing have been completed.

Question 6

Market researchers have determined nine categories of lifestyles for computer users.One of the categories is described as "Mouse Potatoes," who like the Internet for entertainment and can't wait to buy the latest in "techno-entertainment." In terms of the diffusion process,how would "Mouse Potatoes" be classified?

Accepted Answer

"Mouse Potatoes" are described as individuals who are eager to buy the latest in "techno-entertainment," indicating a high level of enthusiasm and early adoption of new technology. This behavior aligns with the characteristics of "innovators" in the diffusion process, who are the first to adopt new innovations.

Question 7

In the long run,products fail because of a poor match between which of the following?

Accepted Answer

This poor match is a violation of the marketing concept,which focuses on serving customer needs with the product.

Question 8

A company has learned members of its target market are likely to collect more information and evaluate more brands than early adopters.They are cautious and thoughtful and do not try the product without asking someone else.The customers' dominant characteristic is deliberateness.In terms of the diffusion process,who are these customers most likely to be?

Accepted Answer

The early majority will collect more information and evaluate more brands than do early adopters.They rely on friends,neighbours,and opinion leaders for information.

Question 9

What is the final stage in the new-product development process?

Accepted Answer

Commercialization is the final stage in the new-product development process where the product is introduced to the market and made available for purchase. Therefore, option C is the correct answer. A, B, and D are all stages that occur before commercialization.

Question 10

What is the main goal of the global product development process?

Accepted Answer

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

Question 11

Who embrace products relatively early in the product life cycle,are likely to be community oriented,and often are opinion leaders themselves?

Accepted Answer

Early adopters are often community-oriented and willing to take on new products early in their life cycle. They are also likely to be opinion leaders themselves and can help to spread awareness of the product to others. Innovators may also be early adopters but are more focused on the technology itself rather than the community aspect. The early majority and late majority tend to wait for the product to become more established before adopting it.

Question 12

What is the term for a consumer who was sufficiently satisfied with his or her trial experience with a product to proceed with some further usage?

Accepted Answer

An adopter is a term used to describe a consumer who has tried a product and was satisfied enough to continue using it. Laggards are consumers who are slow to adopt new products, innovators are the earliest adopters of new products, and diffusers are individuals who spread information about new products to others. None of these terms accurately describe a consumer who was satisfied enough to continue using a product after a trial.

Question 13

Who are eager to try new ideas and products,typically have higher incomes,are better educated,and are more cosmopolitan than other categories of adopters?

Accepted Answer

Innovators are the first category of adopters who are eager to try new ideas and products. They are typically characterized by higher incomes, better education, and cosmopolitanism.

Question 14

Parris Laboratories has ordered production materials and equipment needed to make its new slow-release chlorine emulsion for swimming pools in its Rossville plant.Which stage of new product development is Parris Laboratories entering?

Accepted Answer

During commercialization,production materials and equipment are ordered.

Question 15

Who adopts a product because most of their friends have already done so,and their adoption is usually the result of pressure to conform because they rely on group norms?

Accepted Answer

The late majority adopts a product after the majority of their peers have done so, often due to pressure to conform and reliance on group norms.

Question 16

Because Laurence did not know companies sold pet insurance so that owners could pay for operations on their pets in the event of a sickness or accident,he paid almost $4,000 to have his dog's broken hip replaced.Once he discovered such a product existed,how did he perceive the insurance?

Accepted Answer

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

Question 17

What is 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?

Accepted Answer

An innovation refers to a new product or service that is perceived as new by a potential adopter, whether it is new to the world or simply new to the individual. The term "new to the world" implies that the innovation is the first of its kind, while a product can also be new to the individual if the person has not previously encountered it. Therefore, an innovation is the most appropriate product that is perceived as new by a potential adopter.

Question 18

In the adopter categories,the final 16 percent to adopt are similar to innovators in that they do not rely on the norms of the group but are independent because they are tradition-bound.They tend to have the lowest socioeconomic status,are suspicious of new products,and are alienated from a rapidly advancing society.What are they called?

Accepted Answer

These characteristics describe the laggards category of adopters who are the final 16 percent to adopt.

Question 19

Which of the following statements best describes how adopters participate in the diffusion process?

Accepted Answer

There are five categories: innovator,early adopter,early majority,late majority,and laggard.

Question 20

Market researchers have determined nine categories of lifestyles for computer users.One of the categories is described as "Hand-Shakers," who are typically managers who do not possess any computer skills but rather allow their assistants to provide all necessary technological knowledge.In terms of the diffusion process,how would "Hand-Shakers" most likely be classified for office technology?

Accepted Answer

"Hand-Shakers" are likely to be classified as laggards because they rely on others for technological knowledge and are typically the last to adopt new technologies.

Quiz 10: Developing and Managing Products