Exam 11: Developing and Managing Products

The process by which the adoption of 3D HD televisions spreads is an example of:

Going to the Dogs Demand for pet services is greatly increasing across the United States. In fact,Americans will spend nearly $44 billion dollars on their pets this year.Many American dog owners are seeking out "doggy daycares" that are more like a resort or spa than an ordinary kennel for their canine companion.Daycare services for dogs now include toy rooms,outside play areas,doggie massages,treadmills,swimming pools and cushy beds for nap time.Pet owners can watch their pets via a Web cam and some doggy daycares have a phone where owners can talk to their dog when they feel their pet needs to hear their voice. Rates vary from $20 to $45 a day per pet,depending on the amenities that the pet owner chooses. -Refer to Going to the Dogs.For many dog owners it may be hard to understand the difference between a traditional kennel and a dog daycare,especially given the price differential.As a result,dog daycares may offer special low rates for first-time users in an effort to reduce which of the following issues concerning the rate of diffusion:

The product life cycle is a biological metaphor that traces the stages of a product's acceptance,from its introduction (birth)to its decline (death).

Going to the Dogs Demand for pet services is greatly increasing across the United States. In fact,Americans will spend nearly $44 billion dollars on their pets this year.Many American dog owners are seeking out "doggy daycares" that are more like a resort or spa than an ordinary kennel for their canine companion.Daycare services for dogs now include toy rooms,outside play areas,doggie massages,treadmills,swimming pools and cushy beds for nap time.Pet owners can watch their pets via a Web cam and some doggy daycares have a phone where owners can talk to their dog when they feel their pet needs to hear their voice. Rates vary from $20 to $45 a day per pet,depending on the amenities that the pet owner chooses. -Refer to Going to the Dogs.One challenge to adoption of the dog daycare is the fact that dog owners are used to paying a somewhat minimal fee for boarding their dog in a kennel,while a daycare center may demand many times as much for the same time span.This suggests the _____ of the new product may affect the rate of diffusion.

Many product failures such as Cucumber antiperspirant spray,Toaster Eggs,and Health-Sea sea-sausages most likely did not succeed because they did not conform to the product characteristic of:

When the Segway Human Transporter was introduced in 2002,many people expected the product to be a phenomenal success.While the Segway is still on the market it has never been the success so many expected.A recent Wall Street Journal article suggested that the Segway,while brilliant technologically,seemed impractical to most people as it could not be used to replace their current method of transportation.In other words,the Segway had problems with:

Microwave ovens,staplers,frozen yogurt,and purses are examples of:

Which of the following stages of the new-product development process is the first filter in the new-product development process and serves to eliminate new-product ideas that are inconsistent with the organization's new-product strategy or are obviously inappropriate for some other reason?

The process by which the adoption of an innovation spreads is referred to as:

Which category of adopters adopt a new product because most of their friends have already adopted it?

Heinz is expected to introduce more than 400 new products in the next two years.One of the products is a spicier ketchup aimed at the baby boomer market.The spicier ketchup would be considered what type of new product?

The phase of the product life cycle in which healthy profits usually begin to appear is the _____ stage.

Finland-based Rapala VMC Corporation is the world's largest fishing lure manufacturer.It developed its first fishing lure--a cigar-shaped minnow--in 1962.The annual market for fishing lures in terms of retail sales is approximately $600 million.Rapala VMC garnered one-third of that amount in 2008.New lures must be introduced each year in order to stay competitive in this industry.Like other lure manufacturers,Rapala focuses on two questions in developing and making new lures: Does it work,and does it look good? Developing a new lure takes two or three years and involves extensive field testing by tournament professionals and fishing guides.At the annual fishing industry trade show in 2008,Rapala unveiled the "dream lure for the 21ˢᵗ century." -Refer to Rapala.The "dream lure for the 21ˢᵗ century will more than likely be an example of a(n):

_____ occurs when an existing product is targeted toward new market segments.It is another type of new-product development because the product is new to that segment.

All of the following are categories of adopters in the diffusion process of innovations EXCEPT:

The pedometer is getting kicked up a notch with the new Fitbit device.The Fitbit is a $99 motion-detecting sensing device that can measure the user's activity even when asleep.It digitally records the distance a user walks or runs,right down to the number of steps,and calories burned.The device wirelessly sends data to its Web site,fitbit.com,giving users minute-by-minute details.Users can add consumption information at the Web site,allowing an accurate picture of calorie consumption and expenditures.Unlike other devices,like the Nike + iPod Sport Kit that monitors walking and running and sells for $29 or the Zeo Personal Sleep Coach that records brainwaves while the user is sleeping and sells for $399,the Fitbit combines both functions.The first-time Fitbit setup isn't very easy for users,but once over that hurdle,it's relative easy to use. -Refer to Fitbit.The fact that Fitbit can monitor motion while awake and asleep makes it different from competing products that might increase its rate of adoption.Which product characteristic affecting the rate of adoption does this illustrate?

When selecting a test market city,a researcher should look for a city:

Scientific research aimed at discovering new technologies is called:

Top managers at a commercial real estate firm that specializes in site location and installation of cellphone towers considered providing the same service for windmill location and installation but decided this was not within the company's corporate mission.Which stage of the new-product development process did its new-product development process reach?

A company has learned that members of its target market are likely to collect more information and evaluate more brands than early adopters.They are cautious and thoughtful and do not try the product without asking someone else.The customers' dominant characteristic is deliberateness.In terms of the diffusion process,these customers are most likely: