Firms that develop a stream of new items that differ very little from those now on the market, insert them into the market without great fanfare, watch which ones end users rebuy, and drop those that do not find favor are using the policy of _____.
A) low-cost development and marketing
B) forecasting and risk management
C) approving situations, not numbers
D) forecasting what is known

Question

Quizplus · Accepted Answer

This approach is characterized by low-cost development and marketing because it involves minimal investment in each new item and relies on market response to determine which products to continue supporting. This strategy minimizes the financial risk associated with launching new products by not investing heavily in marketing or development until a product proves popular with consumers.

Firms That Develop a Stream of New Items That Differ