Because of the time,cost,and confidentiality problems of test markets,consumer packaged goods firms often turn to __________,a technique that replicates a full-scale test market to a limited degree.
A) partial rollouts
B) screening and evaluation
C) virtual reality testing
D) time to market
E) simulated test markets

Question

Quizplus · Accepted Answer

Simulated test markets replicate a full-scale test market to a limited degree, and they are commonly used by consumer packaged goods firms due to the time, cost, and confidentiality issues of conducting actual test markets. Simulated test markets use a sample of consumers to provide data on consumer behavior and preferences, which is then used to predict how a product will perform in the market. This technique allows firms to evaluate a product's potential success without incurring the expense and time involved in running a full-scale test market.

Because of the Time,cost,and Confidentiality Problems of Test Markets,consumer Packaged