Exam 12: Developing New Products

Whenever Stephen considers upgrading his computer gaming system, he consults with Pete, a knowledgeable friend who always has the newest technology. For Stephen, Pete is a(n)________ in the diffusion of innovation curve.

When McDonald's comes up with a new drink or sandwich for its restaurants, it often markets it in a dozen or so of its outlets before releasing it nationwide. When the company does this, it is engaged in

Warby Parker, an online retailer for prescription eyewear, offers a free, try-on at home program for its customers. Customers browse frames on Warby Parker's website and select five pairs they would like to try on. They can then choose to purchase or return the frames. Warby Parker handles all the shipping costs and provides all the return packaging. This relates to the ________ of its products.

By adding new product lines beyond its core business of computer software, like the Surface Pro tablet and Xbox 360 game system, Microsoft primarily benefits by

Using the diffusion of innovation theory, what factors contributed to the rapid adoption and success of Amazon.com?

During the ________ stage of the product life cycle, there are few but an increasing number of competitors.

The product life cycle is theoretically ________ with regard to sales and profits.

A major struggle faced by first movers is that they

All of the following are included in the four product life cycle stages except

Describe your actions (or someone you know)in a situation where you (or they)were an innovator in the diffusion of innovation curve.

Many restaurants roll out new ideas first in Orlando, Florida, a location that attracts a vast range of diverse tourists and thus might offer insights into what various consumer groups will like. This is an example of

On the diffusion of innovation curve, the first group of buyers who want to be the first on the block to have the new product are known as early adopters.

Why is the failure rate for new products so high?

For new product marketers, early adopters are important because they tend to be

Terri is trying to sell a new line of mammography equipment. Unlike existing technology, these machines are compact, creating the potential for general practice physicians to have and use them in their offices. Terri would want to identify innovators in his market, knowing these customers will most likely

Early personal computer users remember the cumbersome, user-unfriendly DOS system. When Apple introduced System 1 and Microsoft introduced Windows, both of which were much easier to use, these new products diffused rapidly because of their

When Connor asked a few of his regular customers to test his prototype electric bike, he was engaging in alpha testing.

Which statement best explains the product life cycle?

Jacob sells commercial-grade kitchen equipment to major hotel chains and restaurants. Whenever he visits his customers, he looks to see if they are using the equipment for other tasks or have modified the equipment for some other purpose. These customers are examples of ________, who can provide ideas for new and improved products.

If a new product concept gets positive evaluations from potential customers during concept testing, the next step for a firm is