Question 1

A concept statement developed during the new product development process:
A)describes the technology to be used for manufacturing the product.
B)discusses the results of prototype testing.
C)states a difference and how that difference benefits the customer.
D)lists the guidelines for developing the new product.

Accepted Answer

A concept statement is usually developed during the initial phase of the new product development process to identify and communicate the key elements of the product idea. It typically includes a brief description of the product, the target market, and the unique value proposition that sets it apart from competitors. Therefore, the correct option is C, as it states a difference and how that difference benefits the customer, which is an essential component of a concept statement. The other options are not typically included in a concept statement.

Question 2

Once the product innovation charter has selected a market area for focus,which of the following should be done prior to appearance of the concept?
A)Eliminate other existing product concepts.
B)Withdraw all other products of the firm from the market.
C)Study the market which has been selected.
D)Decide the budget allocation for the new product.

Accepted Answer

Before the appearance of the concept, studying the market which has been selected is necessary in order to understand the needs, wants, and preferences of the target customers. This information can inform the development of the product concept and increase the likelihood of success. Eliminating other existing product concepts or withdrawing other products from the market may not be necessary or strategic. Deciding the budget allocation for the new product can come after the concept has been developed and tested.

Question 3

According to the classic five-point question format of the concept test,the top-two-boxes score is used as an indicator of group reaction and includes the number of people who:
A)definitely would buy or probably would buy the product.
B)probably would buy or might / might not buy the product.
C)might / might not buy or probably would not buy the product.
D)probably would not buy or definitely would not buy.

Accepted Answer

The top-two-boxes score includes the number of people who definitely would buy or probably would buy the product. This provides a good indicator of overall group reaction towards the product.

Question 4

Concept testing was essentially "invented" by ____.
A)industrial firms
B)wholesalers
C)retailers
D)consumer goods firms

Accepted Answer

The answer of Concept testing was essentially "invented" by ____.
A)industrial...

Question 5

In creating a concept statement where several concepts are being tested,a firm must:
A)avoid using competitive information at all times.
B)use the same format for all of them.
C)use the commercialized format.
D)include price information.

Accepted Answer

Using the same format for all of the concepts being tested allows for a consistent and fair evaluation. It also facilitates easier comparison and analysis of the results. It is not necessary to include competitive information or price information in the concept statement. The commercialized format may not be appropriate for all types of concepts being tested.

Question 6

Which of the following questions appears in almost every concept test?
A)Past experience with the organization
B)Appropriate price for the product
C)The distribution channel to be used for the product
D)Intention of buying the product

Accepted Answer

Intention to buy is a key question in almost every concept test as it helps in evaluating the potential demand for the product or service being tested. Past experience with the organization, appropriate price, and distribution channel are also important areas to investigate, but they may not be relevant or applicable to every concept test.

Question 7

With reference to new product development,which of the following is referred to as the bazooka effect?
A)Capturing the target market by introducing the new product at a low price
B)Quickly blasting out suggestions
C)Enhancing the image of a product by introducing it at a high price
D)Approving a concept solely based on the technical criteria

Accepted Answer

The "bazooka effect" in new product development refers to quickly blasting out suggestions or ideas, similar to how a bazooka fires rapidly.

Question 8

Basically,a product concept is a:
A)physical prototype.
B)product feature.
C)core competency.
D)claim of proposed satisfactions.

Accepted Answer

A product concept is a description or claim of the proposed satisfactions a product will provide to its target audience. It is the initial idea or concept of a product and includes important information such as the target market, product benefits, and unique selling points. It is not a physical prototype, product feature, or core competency.

Question 9

Which of the following can resist the bazooka effect?
A)Allow the idea source to participate in the initial reaction.
B)Give the authority of rejecting an idea to a single person.
C)Encourage the participants to give an initial reaction based on intuition.
D)Use trained and experienced evaluators for evaluating an idea.

Accepted Answer

Trained and experienced evaluators are the most likely to be able to objectively evaluate an idea and resist the influence of the bazooka effect. Allowing the idea source to participate in the initial reaction (A) may make it harder for others to criticize or reject the idea, and giving the authority of rejecting an idea to a single person (B) may lead to bias or subjectivity. Encouraging intuition-based initial reactions (C) may be helpful for generating ideas, but may not be reliable for evaluating them objectively.

Question 10

If it is simple for a services firm to go from concept to full service description,then it can proceed to:
A)developing the product innovation charter.
B)developing a concept statement.
C)prototype concept testing.
D)analyzing competitors' offerings.

Accepted Answer

If a services firm can quickly move from concept to full service description, it is ready to test the concept with potential customers, which is what prototype concept testing involves.

Question 11

The BASES Group is the largest supplier of _____ tests.
A)market
B)concept
C)prototype
D)product use

Accepted Answer

The BASES Group is known for being the largest supplier of concept tests, which are used to evaluate new product ideas before they are developed into prototypes or launched into the market.

Question 12

According to the classic five-point question format of the concept test,the number of people who definitely would buy or probably would buy are usually combined and used as an indicator of group reaction.This is called the ____.
A)correlations data
B)top-two-boxes score
C)trial average
D)heuristic calibration

Accepted Answer

The combination of those who definitely and probably would buy is often referred to as the "top-two-boxes score," which is used as an indicator of group reaction in concept testing. The other choices are not relevant to this concept.

Question 13

Once the concept passes the first hurdle,concept testing will focus next on:
A)estimating the product's sales / trial rate.
B)calculating production costs.
C)approximating materials costs.
D)prototyping the product.

Accepted Answer

Once the concept has passed the initial screening, the next step is to estimate the product's sales or trial rate to determine its potential success in the market. This will help in making investment and production decisions. Prototyping, calculating production costs, and approximating materials costs come later in the product development process.

Question 14

Concept testing will most likely work for which of the following types of product?
A)Concepts related to consumer packaged goods.
B)Concepts embodying new art and entertainment.
C)Concepts embodying some new technology that users cannot visualize.
D)Concepts related to a product whose prime benefit is a personal sense.

Accepted Answer

Concept testing is most effective for products that are tangible and easy to visualize, making consumer packaged goods a good fit for this method. New art and entertainment concepts may be too subjective for effective concept testing, and concepts related to new technology may be too difficult for users to visualize. Products whose prime benefit is a personal sense may not lend themselves well to concept testing, as they are often based on emotional and intangible factors.

Question 15

One of the factors based on which a concept can be evaluated for a rough early screen is the "firm worth." It indicates if the:
A)present brand image of the firm is suitable for launching the new product.
B)company has the appropriate technology for manufacturing the new product efficiently.
C)new product project would enhance the firm's competencies.
D)shareholders of the firm approve the introduction of the new product.

Accepted Answer

Firm worth refers to whether the new product project would enhance the firm's competencies. It is not related to the firm's brand image, manufacturing technology, or shareholder approval. Therefore, option C is the correct choice.

Question 16

Which of the following eliminates the greatest number of product ideas?
A)The PIC
B)Market testing
C)Attribute testing
D)Preference testing

Accepted Answer

The PIC (Product-Investment-Control) process is a rigorous screening process that evaluates potential product ideas against a set of predetermined criteria, leading to the elimination of the least viable ideas. This process is designed to save time and resources by focusing only on the most promising ideas. Therefore, the PIC eliminates the greatest number of product ideas.

Question 17

Which of the following statements is true regarding a commercialized concept statement?
A)It presents the concept statement in promotional style.
B)It presents the product concept with the help of physical prototypes.
C)It includes financial details related to the new product,like budget allocation and expected profit.
D)A commercialized concept statement is developed during the launch phase.

Accepted Answer

A commercialized concept statement is designed to present the concept in a promotional style to gauge consumer interest and potential marketability.

Question 18

Concept testing is a part of the _____ process.
A)development
B)prescreening
C)launch
D)full screening

Accepted Answer

Concept testing is typically done during the prescreening phase of the product development process, where ideas are evaluated and refined before moving into full screening and development.

Question 19

Which of the following concept statement formats captures the advantages of the prototype without most of the disadvantages?
A)Verbal description
B)Diagram
C)Physical prototype
D)Virtual reality

Accepted Answer

Virtual reality allows for a simulated and interactive prototype without the physical limitations and costs of a physical prototype. It also allows for more detailed and precise testing than a verbal description or diagram.

Question 20

The first purpose of concept testing is to:
A)estimate the likely sales or trial rate.
B)identify very poor concepts for early elimination.
C)refine revenue estimates claimed by marketers.
D)identify the technology needed for development.

Accepted Answer

The primary purpose of concept testing is to screen out weak or poor concepts early in the development process, saving time and resources by focusing on more promising ideas.

Quiz 9: Concept Testing

A concept statement developed during the new product development process:

Once the product innovation charter has selected a market area for focus,which of the following should be done prior to appearance of the concept?

According to the classic five-point question format of the concept test,the top-two-boxes score is used as an indicator of group reaction and includes the number of people who:

Concept testing was essentially "invented" by ____.

In creating a concept statement where several concepts are being tested,a firm must:

Which of the following questions appears in almost every concept test?

With reference to new product development,which of the following is referred to as the bazooka effect?

Basically,a product concept is a:

Which of the following can resist the bazooka effect?

If it is simple for a services firm to go from concept to full service description,then it can proceed to:

The BASES Group is the largest supplier of _____ tests.

According to the classic five-point question format of the concept test,the number of people who definitely would buy or probably would buy are usually combined and used as an indicator of group reaction.This is called the ____.

Once the concept passes the first hurdle,concept testing will focus next on:

Concept testing will most likely work for which of the following types of product?

One of the factors based on which a concept can be evaluated for a rough early screen is the "firm worth." It indicates if the:

Which of the following eliminates the greatest number of product ideas?

Which of the following statements is true regarding a commercialized concept statement?

Concept testing is a part of the _____ process.

Which of the following concept statement formats captures the advantages of the prototype without most of the disadvantages?

The first purpose of concept testing is to: