Question 1

Select the true statement concerning test marketing.

Accepted Answer

A)  Test marketing is simply an extension of the screening and developing stages. 
B)  Test marketing should be conducted after all the marketing mix variables have been finalized. 
C)  Test marketing is a limited introduction of the product in areas chosen to represent the intended market. 
D)  If the product is successful in the test market, then it is ensured of success upon total introduction. 
E)  Large corporations usually launch test marketing efforts in one small area at a time. 
A)  Test marketing is simply an extension of the screening and developing stages. 
B)  Test marketing should be conducted after all the marketing mix variables have been finalized. 
C)  Test marketing is a limited introduction of the product in areas chosen to represent the intended market. 
D)  If the product is successful in the test market, then it is ensured of success upon total introduction. 
E)  Large corporations usually launch test marketing efforts in one small area at a time.

Question 2

During the commercialization phase of new-product development, plans for full-scale manufacturing and marketing are refined and settled.

Accepted Answer

A) True 
 B)False

Question 3

Early in the commercialization phase, marketers must make decisions about

Accepted Answer

A)  warranties, repairs, and replacement parts. 
B)  product features and break-even points. 
C)  functionality, safety, and convenience. 
D)  the proposed marketing mix variables. 
E)  which ideas to further pursue. 
A)  warranties, repairs, and replacement parts. 
B)  product features and break-even points. 
C)  functionality, safety, and convenience. 
D)  the proposed marketing mix variables. 
E)  which ideas to further pursue.

Question 4

Repositioning requires changes in perception but not usually changes in product features.

Accepted Answer

A) True 
 B)False

Question 5

Time spent in test marketing can benefit a firm's competitors.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following is the stage of the new-product development process where customers are first exposed to the new product idea?

Accepted Answer

A)  Screening 
B)  Concept testing 
C)  Business analysis 
D)  Product development 
E)  Test marketing 
A)  Screening 
B)  Concept testing 
C)  Business analysis 
D)  Product development 
E)  Test marketing

Question 7

Product support services are important mainly for products that are mechanical in nature.

Accepted Answer

A) True 
 B)False

Question 8

Compared with other phases of the new-product development process, the largest number of new-product ideas is rejected during the ____ phase.

Accepted Answer

A)  idea generation 
B)  concept testing 
C)  business analysis 
D)  screening 
E)  test marketing 
A)  idea generation 
B)  concept testing 
C)  business analysis 
D)  screening 
E)  test marketing

Question 9

The decision to drop a product should always be a unanimous decision of the management team.

Accepted Answer

A) True 
 B)False

Question 10

When Conair adds an electrical component that automatically shuts off its curling irons when they have been left on for more than one hour, this improvement would best be classified as a(n)

Accepted Answer

A)  product line extension. 
B)  quality modification. 
C)  aesthetic modification. 
D)  market extension. 
E)  functional modification. 
A)  product line extension. 
B)  quality modification. 
C)  aesthetic modification. 
D)  market extension. 
E)  functional modification.

Question 11

Product deletion

Accepted Answer

A)  tends to be an easy task for most organizations. 
B)  may be opposed by management. 
C)  involves immediate termination. 
D)  is a matter of indifference to customers. 
E)  usually occurs only with convenience items. 
A)  tends to be an easy task for most organizations. 
B)  may be opposed by management. 
C)  involves immediate termination. 
D)  is a matter of indifference to customers. 
E)  usually occurs only with convenience items.

Question 12

Scenario 12.2 Use the following to answer the questions.
Jonathan Moore, president of Polar Manufacturing Company, has just reviewed the performance reports for the previous year and sees that there are some areas in which the company needs to improve. He specifically feels they could do a better job in managing Polar's product mix. Jonathan calls a meeting of all the managers responsible for each of the product lines that Polar currently manufactures. The group decides that they need to eliminate the complete industrial product line of ice chests, and plan to do so by letting the product decline without any changes in the marketing strategy or product. The group also decides to delete Polar's line of personal thermal underwear; this product, however, is to be discontinued within the week due to its unprofitability. While discussing these strategies, the group has also uncovered several customer groups for which new products could be developed. The managers decide to assemble a group of people from all functional areas of the company and give them the responsibility for all aspects of the new-product development.
Refer to Scenario 12.2. The decision to delete the industrial product line of ice chests is an example of deleting a product through a(n) ____, while the decision to drop the thermal underwear line is an example of a(n) ____.

Accepted Answer

A)  run-out; phase out 
B)  phase-out; immediate drop 
C)  immediate drop; run-out 
D)  immediate drop; phase-out 
E)  phase-out; run-out 
A)  run-out; phase out 
B)  phase-out; immediate drop 
C)  immediate drop; run-out 
D)  immediate drop; phase-out 
E)  phase-out; run-out

Question 13

Often, a new product is launched in stages during commercialization. This gradual introduction of the product is known as

Accepted Answer

A)  market development. 
B)  regional commercialization. 
C)  rollout. 
D)  market extension. 
E)  competitive jamming. 
A)  market development. 
B)  regional commercialization. 
C)  rollout. 
D)  market extension. 
E)  competitive jamming.

Question 14

In product modification, the first issue to consider is whether

Accepted Answer

A)  existing customers can perceive that a product modification has been made. 
B)  the product is modifiable. 
C)  quality is modified. 
D)  modification will make the product more consistent with customers' desires. 
E)  modification will provide greater satisfaction to the consumer. 
A)  existing customers can perceive that a product modification has been made. 
B)  the product is modifiable. 
C)  quality is modified. 
D)  modification will make the product more consistent with customers' desires. 
E)  modification will provide greater satisfaction to the consumer.

Question 15

You work in the marketing department of Procter & Gamble. P&G recently made the announcement that it was going to delete certain brands that were not meeting profit expectations. You are part of the team to help in this product deletion process. You and your team get together to discuss a brand of soap that has seen sales decrease in recent years. The team discusses how you should delete the product. Each of you writes down comments regarding your thoughts about the brand. The comments can be summed up as follows: "The brand is not doing well, but it still has a loyal following among some consumers."
"I think this brand still has some strengths left."
Based on these comments, which product deletion strategy should the company adopt?

Accepted Answer

A)  phase-out 
B)  drop-down 
C)  run-out 
D)  immediate drop 
E)  close-out 
A)  phase-out 
B)  drop-down 
C)  run-out 
D)  immediate drop 
E)  close-out

Question 16

Product managers can be responsible for a single product, a product line, or several products.

Accepted Answer

A) True 
 B)False

Question 17

If the manufacturer of Cool Whip were to introduce a chocolate-flavored Cool Whip and still continue to produce all of its other Cool Whip products, this would be an example of

Accepted Answer

A)  a brand extension. 
B)  line extension. 
C)  functional modification. 
D)  quality modification. 
E)  a new-to-the-world product. 
A)  a brand extension. 
B)  line extension. 
C)  functional modification. 
D)  quality modification. 
E)  a new-to-the-world product.

Question 18

Test marketing is a sample launching of the entire marketing mix.

Accepted Answer

A) True 
 B)False

Question 19

Lydia's company plans to release a new version of their signature television set. This television will have more advanced features, including better sound quality and high definition. They plan to discontinue the older version once this newer version is launched. This is an example of a

Accepted Answer

A)  brand extension. 
B)  aesthetic modification. 
C)  line extension. 
D)  product modification. 
E)  perceptual change. 
A)  brand extension. 
B)  aesthetic modification. 
C)  line extension. 
D)  product modification. 
E)  perceptual change.

Question 20

Functional modifications usually require that the product be redesigned.

Accepted Answer

A) True 
 B)False

Select the true statement concerning test marketing.

During the commercialization phase of new-product development, plans for full-scale manufacturing and marketing are refined and settled.

Early in the commercialization phase, marketers must make decisions about

Repositioning requires changes in perception but not usually changes in product features.

Time spent in test marketing can benefit a firm's competitors.

Which of the following is the stage of the new-product development process where customers are first exposed to the new product idea?

Product support services are important mainly for products that are mechanical in nature.

Compared with other phases of the new-product development process, the largest number of new-product ideas is rejected during the ____ phase.

The decision to drop a product should always be a unanimous decision of the management team.

When Conair adds an electrical component that automatically shuts off its curling irons when they have been left on for more than one hour, this improvement would best be classified as a(n)

Product deletion

Often, a new product is launched in stages during commercialization. This gradual introduction of the product is known as

In product modification, the first issue to consider is whether

Product managers can be responsible for a single product, a product line, or several products.

If the manufacturer of Cool Whip were to introduce a chocolate-flavored Cool Whip and still continue to produce all of its other Cool Whip products, this would be an example of

Test marketing is a sample launching of the entire marketing mix.

Lydia's company plans to release a new version of their signature television set. This television will have more advanced features, including better sound quality and high definition. They plan to discontinue the older version once this newer version is launched. This is an example of a

Functional modifications usually require that the product be redesigned.

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets, Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts, Branding, and Packaging

Services Marketing

Marketing Channels and Supply Chain Management

Retailing, Direct Marketing and Wholesaling

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters

Exam 12: Developing and Managing Products

Select the true statement concerning test marketing.

During the commercialization phase of new-product development, plans for full-scale manufacturing and marketing are refined and settled.

Early in the commercialization phase, marketers must make decisions about

Repositioning requires changes in perception but not usually changes in product features.

Time spent in test marketing can benefit a firm's competitors.

Which of the following is the stage of the new-product development process where customers are first exposed to the new product idea?

Product support services are important mainly for products that are mechanical in nature.

Compared with other phases of the new-product development process, the largest number of new-product ideas is rejected during the ____ phase.

The decision to drop a product should always be a unanimous decision of the management team.

When Conair adds an electrical component that automatically shuts off its curling irons when they have been left on for more than one hour, this improvement would best be classified as a(n)

Product deletion

Often, a new product is launched in stages during commercialization. This gradual introduction of the product is known as

In product modification, the first issue to consider is whether

Product managers can be responsible for a single product, a product line, or several products.

If the manufacturer of Cool Whip were to introduce a chocolate-flavored Cool Whip and still continue to produce all of its other Cool Whip products, this would be an example of

Test marketing is a sample launching of the entire marketing mix.

Lydia's company plans to release a new version of their signature television set. This television will have more advanced features, including better sound quality and high definition. They plan to discontinue the older version once this newer version is launched. This is an example of a

Functional modifications usually require that the product be redesigned.

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets, Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts, Branding, and Packaging

Services Marketing

Marketing Channels and Supply Chain Management

Retailing, Direct Marketing and Wholesaling

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters