Question 1

A _____ product is one where there is an extended introductory period due to the significant efforts required to educate customers on the usage and benefits of the product.
A)high-learning
B)low-learning
C)line extension
D)concept

Accepted Answer

A high-learning product is one where there is an extended introductory period due to the significant efforts required to educate customers on the usage and benefits of the product.

Question 2

Which of the following is true of the growth stage of the product life cycle?
A)During this stage, profits are minimal and sales grow slowly.
B)This stage is characterized by little competition and a lack of consumer awareness about the product.
C)It is characterized by a slowdown of increase in both the sales and profit areas.
D)This stage sees an increase in competition and a rapid rise in sales and profits.

Accepted Answer

The growth stage of the product life cycle sees an increase in competition and a rapid rise in sales and profits.

Question 3

Which of the following is a characteristic of the maturity stage of the product life cycle?
A)advertising emphasis switches to primary demand
B)growing proportion of initial purchasers to repeat purchasers
C)rapid rise in sales and profits
D)competitors are well-established

Accepted Answer

The maturity stage of the product life cycle is characterized by a slowdown of growth in both the sales and profit areas.Competitors are well-established and fewer new consumers enter the market.

Question 4

A company realizes that one of its products has become obsolete in the market since its sales and profits have consistently declined.Which of the following strategies can the company adopt to deal with its declining product?
A)line extension
B)deletion
C)penetration pricing
D)price skimming

Accepted Answer

A company follows one of two strategies to deal with a declining product.It will either delete the product, as seen in the television entertainment industry, or harvest the product, as sometimes seen in the food industry.

Question 5

When the Nokia cellphone was launched in the market, it required little education on behalf of consumers.Consumers trusted the brand and, within a few days, Nokia had sold more than a million units.This is an example of a _____ product.
A)fashion
B)high-learning
C)concept
D)low-learning

Accepted Answer

This is an example of a low-learning product.A low-learning product has a short introductory stage in the product life cycle.In these instances, the benefits of purchasing these products are self-evident and very little learning is required.

Question 6

Freshmornings is one of the breakfast cereals produced by Kenny's Ltd.Marketers at the company analyze that the product is experiencing a slowdown of growth in both sales and profits.Within a year, due to changes in consumer needs, the product sales have consistently decreased.They decide to keep the product but reduce the marketing support in an attempt to reap some minor profits at this stage in the life cycle. Which strategy were the marketers at Kenny's adopting when they decided to reduce the marketing support for Freshmornings to reap some minor profits?
A)price moderation
B)price skimming
C)harvesting
D)line extension

Accepted Answer

The marketers at Kenny's were adopting the harvesting approach.Deletion is when a product is discontinued, while harvesting is when a company keeps the product but reduces marketing support in an attempt to reap some minor profits at this stage in the life cycle.

Question 7

The _____ stage occurs when a product becomes obsolete due to technological innovation or changes in consumer needs.
A)maturity
B)decline
C)growth
D)commercialization

Accepted Answer

The decline stage of the product life cycle occurs when sales and profits consistently decline over time.Frequently, a product enters this stage when products become obsolete due to technological innovation or changes in consumer needs.

Question 8

Which of the following stages of a product life cycle is characterized by a slowdown of growth in both sales and profit areas?
A)decline stage
B)growth stage
C)introduction stage
D)maturity stage

Accepted Answer

The maturity stage of the product life cycle is characterized by a slowdown of growth in both the sales and profit areas.

Question 9

_____ is when a product is discontinued.
A)Harvesting
B)Revamping
C)Product skimming
D)Deletion

Accepted Answer

Deletion is when a product is discontinued.

Question 10

The Swiffer Sweeper required consumers to understand the new product, how to use it, and what to do with their old brooms and mops.This is an example of a _____ product.
A)low-learning
B)concept
C)fad
D)high-learning

Accepted Answer

This is an example of a high-learning product.A high-learning product is one where there is an extended introductory period due to the significant efforts required to educate customers on the usage and benefits of the product.

Question 11

Market researchers at Fey Brothers Ltd.analyze and conclude that the company's product is experiencing a slowdown in both sales and profits.The researchers cite well-established competitors and fewer new consumers in the market as the main reasons.At which stage of the product life cycle is the company's product?
A)growth stage
B)maturity stage
C)introduction stage
D)decline stage

Accepted Answer

The maturity stage of the product life cycle is characterized by a slowdown of growth in both the sales and profit areas.Competitors are well-established and fewer new consumers enter the market.

Question 12

Which of the following is true of a high-learning product?
A)It refers to a product with a very short product life cycle.
B)It refers to a product that experiences immediate rapid growth, followed by a rapid decline.
C)It refers to a product with an extended introductory period due to efforts required to educate customers.
D)It refers to a product that has a short introductory stage, where the benefits of purchasing are self-evident.

Accepted Answer

A high-learning product is one where there is an extended introductory period due to the significant efforts required to educate customers on the usage and benefits of the product.

Question 13

_____ involves determining financial projections on bringing a new product to market and selling it in the future.
A)Concept test
B)Development
C)Screening and evaluation
D)Business analysis

Accepted Answer

After the concept tests have determined which products, or line of products, are strong new product candidates, the business analysis step is necessary.This involves determining financial projections on bringing the new product to market and selling it in the future.

Question 14

A _____ product has a short introductory stage in the product life cycle.In these instances, the benefits of purchasing these products are self-evident and very little learning is required.
A)concept
B)high-learning
C)fashion
D)low-learning

Accepted Answer

A low-learning product has a short introductory stage in the product life cycle.In these instances, the benefits of purchasing these products are self-evident and very little learning is required.

Question 15

Klen, a cellphone manufacturer, realizes that one of its products is experiencing a consistent decline in sales and profits.The company, however, decides to keep the product, but reduces marketing support in an attempt to reap minor profits.This strategy is called _____.
A)line extension
B)radical innovation
C)harvesting
D)commercialization

Accepted Answer

This strategy is called harvesting.Deletion is when a product is discontinued, while harvesting is when a company keeps the product but reduces marketing support in an attempt to reap some minor profits at this, the decline, stage in the life cycle.

Question 16

Freshmornings is one of the breakfast cereals produced by Kenny's Ltd.Marketers at the company analyze that the product is experiencing a slowdown of growth in both sales and profits.Within a year, due to changes in consumer needs, the product sales have consistently decreased.They decide to keep the product but reduce the marketing support in an attempt to reap some minor profits at this stage in the life cycle. Which stage of the product life cycle did Freshmornings enter with consistently low sales due to changes in consumer needs?
A)decline stage
B)introduction stage
C)growth stage
D)maturity stage

Accepted Answer

It entered the decline stage of the product life cycle.The decline stage of the product life cycle occurs when sales and profits consistently decline over time.Frequently, a product enters this stage when products become obsolete due to technological innovation or changes in consumer needs.

Question 17

At which of the following stages of product life cycle does a product experience an increase in competition and a rapid rise in sales and profits?
A)growth stage
B)maturity stage
C)decline stage
D)introductory stage

Accepted Answer

The growth stage of the product life cycle sees an increase in competition and a rapid rise in sales and profits.

Question 18

The _____ is generally the longest stage in the product life cycle with marketers using short-term promotional tactics such as consumer promotions.
A)maturity stage
B)growth stage
C)decline stage
D)introduction stage

Accepted Answer

The maturity stage is generally the longest stage in the product life cycle with marketers focusing efforts on ensuring that the product does not go into decline.Marketers use short-term promotional tactics such as consumer promotions to encourage consumers to purchase the product.

Question 19

Marketers at Camy Cosmetics Ltd.launch short-term promotional tactics to deal with the slowdown of growth in sales and profits of their products, and concentrate on product innovations to be more competitive and relevant to consumer needs.Which stage of the product life cycle are Camy's products most likely at?
A)decline stage
B)maturity stage
C)introduction stage
D)growth stage

Accepted Answer

Camy's products are most likely at the maturity stage of the product life cycle.The maturity stage is generally the longest stage in the product life cycle with marketers focusing efforts on ensuring that the product does not go into decline.Marketers use short-term promotional tactics such as consumer promotions to encourage consumers to purchase the product.Product innovation can also become a priority at this stage as marketers try to reposition products in the market and revamp product lines to be more competitive and relevant to consumers' needs.

Question 20

Freshmornings is one of the breakfast cereals produced by Kenny's Ltd.Marketers at the company analyze that the product is experiencing a slowdown of growth in both sales and profits.Within a year, due to changes in consumer needs, the product sales have consistently decreased.They decide to keep the product but reduce the marketing support in an attempt to reap some minor profits at this stage in the life cycle. At which stage of the product life cycle was Freshmornings when marketers realized that there was a slowdown of growth in both sales and profits?
A)growth stage
B)decline stage
C)introduction stage
D)maturity stage

Accepted Answer

It was at the maturity stage of the product life cycle.The maturity stage of the product life cycle is characterized by a slowdown of growth in both the sales and profit areas.

Quiz 8: New Product Development

A _____ product is one where there is an extended introductory period due to the significant efforts required to educate customers on the usage and benefits of the product.

Which of the following is true of the growth stage of the product life cycle?

Which of the following is a characteristic of the maturity stage of the product life cycle?

A company realizes that one of its products has become obsolete in the market since its sales and profits have consistently declined.Which of the following strategies can the company adopt to deal with its declining product?

When the Nokia cellphone was launched in the market, it required little education on behalf of consumers.Consumers trusted the brand and, within a few days, Nokia had sold more than a million units.This is an example of a _____ product.

The _____ stage occurs when a product becomes obsolete due to technological innovation or changes in consumer needs.

Which of the following stages of a product life cycle is characterized by a slowdown of growth in both sales and profit areas?

_____ is when a product is discontinued.

The Swiffer Sweeper required consumers to understand the new product, how to use it, and what to do with their old brooms and mops.This is an example of a _____ product.

Which of the following is true of a high-learning product?

_____ involves determining financial projections on bringing a new product to market and selling it in the future.

A _____ product has a short introductory stage in the product life cycle.In these instances, the benefits of purchasing these products are self-evident and very little learning is required.

Klen, a cellphone manufacturer, realizes that one of its products is experiencing a consistent decline in sales and profits.The company, however, decides to keep the product, but reduces marketing support in an attempt to reap minor profits.This strategy is called _____.

At which of the following stages of product life cycle does a product experience an increase in competition and a rapid rise in sales and profits?

The _____ is generally the longest stage in the product life cycle with marketers using short-term promotional tactics such as consumer promotions.