Question 1

What is the fundamental idea underlying the product life cycle?

Accepted Answer

Products have a limited profit-producing life.

Question 2

It takes _______ new product ideas to generate just one new product that reaches the market,and then only _____ out of 10 new products on the market succeeds.

Accepted Answer

50; 1

Question 3

Marketers at Wallson Corp.are trying to make potential consumers aware of the company's new product and its benefits.Profits are non-existent at this time.This is the ________ stage of the product life cycle.

Accepted Answer

introduction

Question 4

Mirror Corp.has just completed the "screening" phase of the new product development process.What should they do next?

Accepted Answer

Eliminate all product ideas that do not mesh with the firm's abilities,expertise,or objectives.

Question 5

In which stage of new product development does market research have a major role?

Accepted Answer

Concept testing

Question 6

Hydrogen fuel cells and solar-powered cars are in the ________ stage of their product life cycles.

Accepted Answer

introduction

Question 7

The marketing staff at Batson Corp.have developed a long list of possible new product ideas.In terms of the new product development process,what should they do next?

Accepted Answer

Screening

Question 8

Speed to market is very important to a firm's success.One study has estimated that a product that is six months late will sacrifice ________ percent of its lifetime profit potential.

Accepted Answer

33

Question 9

Ford offers four different models of the Escort that run the gamut from the three-door sport model to the five-door sedan.This represents

Accepted Answer

a product line.

Question 10

You work for a firm that manufactures and sells pet accessories.As part of your job,you frequently visit city parks and observe how people interact with their pets.You also talk to the staff members of veterinary clinics to discover how people relate to their pets.This activity is part of the ________ phase of new product development.

Accepted Answer

idea generation

Question 11

Suppose that you are asked to come up with a new product.What would your first step be?

Accepted Answer

Idea generation

Question 12

During this stage of a product's life cycle,sales and profits fall.New products in the introduction stage take away sales,and companies typically reduce promotional support.This is the ________ stage.

Accepted Answer

decline

Question 13

Penny has been hired by a manufacturing company to come up with a new remote control.Penny's first step would be

Accepted Answer

new product ideas.

Question 14

The ________ is a series of stages through which a product passes during its profit-producing life.

Accepted Answer

product life cycle

Question 15

Why are business firms interested in the development of new products?

Accepted Answer

New products are necessary to stay in business.

Question 16

Automobiles and colour TVs are in the ________ stage of their product life cycle.

Accepted Answer

maturity

Question 17

How does the product life cycle mesh with the product development process?

Accepted Answer

Product commercialization is the start of the introduction stage of the life cycle.

Question 18

Lexington Corp.has been involved in a new product development process for several months.They have completed several preliminary tasks,the most recent of which was estimating costs and benefits for a proposed new product that looks promising.What should they do next?

Accepted Answer

Prototype development

Question 19

Baker Company is determining consumer response to a new product under real conditions.Which phase of the product development process is the company in?

Accepted Answer

Product testing and test marketing

Question 20

The new product that Bellson Corp.introduced last year is now experiencing rapidly increasing sales,and the product has begun to show a profit.But Bellson notices that two competitors have recently introduced a similar product.This is what happens in the ________ stage of a product's life cycle.

Accepted Answer

growth

Quiz 16: Developing and Promoting Goods and Services