Question 1

What is the main goal of a test market?

Accepted Answer

A)  Evaluate and adjust the general marketing strategy to be used and the appropriate marketing mix. 
B)  Emphasize on the organizational structure and management talent needed to implement the marketing strategy. 
C)  Evaluate the product plan from the standpoint of engineering, manufacturing, finance, and marketing. 
D)  Increase frequency of consumption or increase the number of customers using the firm's product(s). 
A)  Evaluate and adjust the general marketing strategy to be used and the appropriate marketing mix. 
B)  Emphasize on the organizational structure and management talent needed to implement the marketing strategy. 
C)  Evaluate the product plan from the standpoint of engineering, manufacturing, finance, and marketing. 
D)  Increase frequency of consumption or increase the number of customers using the firm's product(s). A

Question 2

Which of the following is (are) critical to providing an atmosphere that stimulates new product activity?

Accepted Answer

A)  Unionization 
B)  Politics within the organization 
C)  Top-management support 
D)  External consultants 
A)  Unionization 
B)  Politics within the organization 
C)  Top-management support 
D)  External consultants C

Question 3

Del Monte Foods added tomatoes that were already diced and spiced to its line of canned tomato products. In which of the new product categories would diced and spiced canned tomatoes fall?

Accepted Answer

A)  New-to-the-world products 
B)  New category entries 
C)  Additions to product lines 
D)  Product improvements 
A)  New-to-the-world products 
B)  New category entries 
C)  Additions to product lines 
D)  Product improvements C

Question 4

During the product development stage of the new product development process, a development report is prepared for management. This report spells out in detail all of the following except

Accepted Answer

A)  the new products estimated release time. 
B)  how the product supports the company's organizational mission. 
C)  production facilities design. 
D)  results of the studies by the engineering department. 
A)  the new products estimated release time. 
B)  how the product supports the company's organizational mission. 
C)  production facilities design. 
D)  results of the studies by the engineering department.

Question 5

According to the growth vector matrix these products usually require the firm to make significant investments in research and development and may require significant changes in its organizational structure.

Accepted Answer

A)  New products 
B)  Repositioned products 
C)  Improved products 
D)  Additions to existing products 
A)  New products 
B)  Repositioned products 
C)  Improved products 
D)  Additions to existing products

Question 6

Which of the following is a financial criterion for measurement of new product performance?

Accepted Answer

A)  Performance of new products 
B)  Market share achieved 
C)  Return on sales 
D)  Market-related benefits 
A)  Performance of new products 
B)  Market share achieved 
C)  Return on sales 
D)  Market-related benefits

Question 7

Light Eats is a buffet-style salad bar with locations in the South, West and Midwest United States. It serves a variety of salads and soups for the health conscious. Recently it has introduced 'Frozen Fruit' bars serving ice creams and sorbets, inspired from flavors of Mexico and made from fresh fruits and vegetables in unique ethnic flavors. Which new products based categories would the frozen fruit bars come under?

Accepted Answer

A)  New-to-the-world products 
B)  New category entries 
C)  Product improvements 
D)  Additions to product lines 
A)  New-to-the-world products 
B)  New category entries 
C)  Product improvements 
D)  Additions to product lines

Question 8

Define a strategic alliance.

Accepted Answer

A)  Members from many different departments coming together to jointly establish new product development goals and priorities. 
B)  A relationship between an organization and it employees. 
C)  A long-term partnership between two organizations designed to accomplish the strategic goals of both parties. 
D)  A relationship between a business and the community in which it is headquartered. 
A)  Members from many different departments coming together to jointly establish new product development goals and priorities. 
B)  A relationship between an organization and it employees. 
C)  A long-term partnership between two organizations designed to accomplish the strategic goals of both parties. 
D)  A relationship between a business and the community in which it is headquartered.

Question 9

Which of the following statements about the importance of time to market is true?

Accepted Answer

A)  A short time to market can create a competitive advantage. 
B)  A centralized work schedule is important for achieving a successful time to market. 
C)  Over the course of the last five years, companies have placed less emphasis on shortening their products' time to market. 
D)  Time to market is defined as the elapsed time between product development and commercialization. 
A)  A short time to market can create a competitive advantage. 
B)  A centralized work schedule is important for achieving a successful time to market. 
C)  Over the course of the last five years, companies have placed less emphasis on shortening their products' time to market. 
D)  Time to market is defined as the elapsed time between product development and commercialization.

Question 10

Avon first marketed its Skin So Soft lotion as a body lotion to compete with other similar body lotions. Today Avon promotes its Skin So Soft lotion as an insect repellant that is good to your skin. In which of the new product categories would Skin So Soft lotion fall?

Accepted Answer

A)  New-to-the-world products 
B)  New category entries 
C)  Additions to product lines 
D)  Repositionings 
A)  New-to-the-world products 
B)  New category entries 
C)  Additions to product lines 
D)  Repositionings

Question 11

What does strategic risk involve?

Accepted Answer

A)  The risk that a new product won't be developed within the desired time and budget. 
B)  The risk of not matching the role or purpose of a new product with a specific strategic need or issue of the organization. 
C)  The risk that a new product won't meet a market need in a value-added, differentiated way. 
D)  The risk of environmental influences such as natural disasters that inhibit the functioning of the firm. 
A)  The risk that a new product won't be developed within the desired time and budget. 
B)  The risk of not matching the role or purpose of a new product with a specific strategic need or issue of the organization. 
C)  The risk that a new product won't meet a market need in a value-added, differentiated way. 
D)  The risk of environmental influences such as natural disasters that inhibit the functioning of the firm.

Question 12

Which of the following statements about cross-functional product development teams is true?

Accepted Answer

A)  Interpersonal skills are not necessary for these teams to operate efficiently. 
B)  The only skills needed for efficient operation of such teams are technical skills. 
C)  These teams have the ability to identify problems and opportunities related to the entire organization and make decisions quickly. 
D)  Cross-functional teams succeed because of their synergy and not their complementary skills. 
A)  Interpersonal skills are not necessary for these teams to operate efficiently. 
B)  The only skills needed for efficient operation of such teams are technical skills. 
C)  These teams have the ability to identify problems and opportunities related to the entire organization and make decisions quickly. 
D)  Cross-functional teams succeed because of their synergy and not their complementary skills.

Question 13

In which stage of the new product development process is a development budget established and some preliminary marketing and technical research undertaken?

Accepted Answer

A)  Idea generation 
B)  Project planning 
C)  Test marketing 
D)  Commercialization 
A)  Idea generation 
B)  Project planning 
C)  Test marketing 
D)  Commercialization

Question 14

Healthfoods Company manufactures and markets processed food products. It recently introduced infant food under the brand name of Nutrababy. Identify the new product category involved.

Accepted Answer

A)  New-to-the-world products 
B)  Additions to product lines 
C)  New category entries 
D)  Product improvements 
A)  New-to-the-world products 
B)  Additions to product lines 
C)  New category entries 
D)  Product improvements

Question 15

Which of the following organizational growth strategies deal with present products in present markets?

Accepted Answer

A)  Diversification 
B)  Product development 
C)  Market development 
D)  Market penetration 
A)  Diversification 
B)  Product development 
C)  Market development 
D)  Market penetration

Question 16

On earnings associated with new products it is critical that

Accepted Answer

A)  management has a pressure of steady improvement in earnings per share. 
B)  firms do not become solely preoccupied with a short-term focus. 
C)  the emphasis should be on short-term profits. 
D)  the firm realize that profitability will not be supported by the stock market in terms of higher share prices over the long term. 
A)  management has a pressure of steady improvement in earnings per share. 
B)  firms do not become solely preoccupied with a short-term focus. 
C)  the emphasis should be on short-term profits. 
D)  the firm realize that profitability will not be supported by the stock market in terms of higher share prices over the long term.

Question 17

Product testing, product endorsement, accidental discovery are all associated with which source of new product ideas?

Accepted Answer

A)  Customers 
B)  Research and engineering 
C)  Distribution channels 
D)  Business and management 
A)  Customers 
B)  Research and engineering 
C)  Distribution channels 
D)  Business and management

Question 18

Customers can be used as a source for new product ideas. These ideas would come from all of the following sources except

Accepted Answer

A)  customer requests. 
B)  customer complaints. 
C)  industry movements. 
D)  focus groups. 
A)  customer requests. 
B)  customer complaints. 
C)  industry movements. 
D)  focus groups.

Question 19

An approach to the new product question developed by H. Igor Ansoff is termed

Accepted Answer

A)  corporate marketing. 
B)  marketing mix. 
C)  growth vectors. 
D)  benchmarking. 
A)  corporate marketing. 
B)  marketing mix. 
C)  growth vectors. 
D)  benchmarking.

Question 20

Identify the stage where heavy emphasis is placed on the organization structure and management talent needed to implement the marketing strategy.

Accepted Answer

A)  Commercialization 
B)  Test marketing 
C)  Personal selling 
D)  Direct marketing 
A)  Commercialization 
B)  Test marketing 
C)  Personal selling 
D)  Direct marketing

What is the main goal of a test market?

Which of the following is (are) critical to providing an atmosphere that stimulates new product activity?

Del Monte Foods added tomatoes that were already diced and spiced to its line of canned tomato products. In which of the new product categories would diced and spiced canned tomatoes fall?

During the product development stage of the new product development process, a development report is prepared for management. This report spells out in detail all of the following except

According to the growth vector matrix these products usually require the firm to make significant investments in research and development and may require significant changes in its organizational structure.

Which of the following is a financial criterion for measurement of new product performance?

Define a strategic alliance.

Which of the following statements about the importance of time to market is true?

Avon first marketed its Skin So Soft lotion as a body lotion to compete with other similar body lotions. Today Avon promotes its Skin So Soft lotion as an insect repellant that is good to your skin. In which of the new product categories would Skin So Soft lotion fall?

What does strategic risk involve?

Which of the following statements about cross-functional product development teams is true?

In which stage of the new product development process is a development budget established and some preliminary marketing and technical research undertaken?

Healthfoods Company manufactures and markets processed food products. It recently introduced infant food under the brand name of Nutrababy. Identify the new product category involved.

Which of the following organizational growth strategies deal with present products in present markets?

On earnings associated with new products it is critical that

Product testing, product endorsement, accidental discovery are all associated with which source of new product ideas?

Customers can be used as a source for new product ideas. These ideas would come from all of the following sources except

An approach to the new product question developed by H. Igor Ansoff is termed

Identify the stage where heavy emphasis is placed on the organization structure and management talent needed to implement the marketing strategy.

Strategic Planning and the Marketing Management Process

Marketing Research : Process and Systems for Decision Making

Consumer Behavior

Business, Government, and Institutional Buying

Market Segmentation

Product and Brand Strategy

Integrated Marketing Communications : Advertising, Sales Promotion, Public Relations, and Direct Marketing

Personal Selling, Relationship Building, and Sales Management

Distribution Strategy

Pricing Strategy

The Marketing of Services

Global Marketing

Filters

Exam 7: New Product Planning and Development

What is the main goal of a test market?

Which of the following is (are) critical to providing an atmosphere that stimulates new product activity?

Del Monte Foods added tomatoes that were already diced and spiced to its line of canned tomato products. In which of the new product categories would diced and spiced canned tomatoes fall?

During the product development stage of the new product development process, a development report is prepared for management. This report spells out in detail all of the following except

According to the growth vector matrix these products usually require the firm to make significant investments in research and development and may require significant changes in its organizational structure.

Which of the following is a financial criterion for measurement of new product performance?

Define a strategic alliance.

Which of the following statements about the importance of time to market is true?

Avon first marketed its Skin So Soft lotion as a body lotion to compete with other similar body lotions. Today Avon promotes its Skin So Soft lotion as an insect repellant that is good to your skin. In which of the new product categories would Skin So Soft lotion fall?

What does strategic risk involve?

Which of the following statements about cross-functional product development teams is true?

In which stage of the new product development process is a development budget established and some preliminary marketing and technical research undertaken?

Healthfoods Company manufactures and markets processed food products. It recently introduced infant food under the brand name of Nutrababy. Identify the new product category involved.

Which of the following organizational growth strategies deal with present products in present markets?

On earnings associated with new products it is critical that

Product testing, product endorsement, accidental discovery are all associated with which source of new product ideas?

Customers can be used as a source for new product ideas. These ideas would come from all of the following sources except

An approach to the new product question developed by H. Igor Ansoff is termed

Identify the stage where heavy emphasis is placed on the organization structure and management talent needed to implement the marketing strategy.

Strategic Planning and the Marketing Management Process

Marketing Research : Process and Systems for Decision Making

Consumer Behavior

Business, Government, and Institutional Buying

Market Segmentation

Product and Brand Strategy

Integrated Marketing Communications : Advertising, Sales Promotion, Public Relations, and Direct Marketing

Personal Selling, Relationship Building, and Sales Management

Distribution Strategy

Pricing Strategy

The Marketing of Services

Global Marketing

Filters