Exam 11: Developing and Managing Products

Voodoo Envy Hewlett-Packard is the number one seller of personal computers worldwide. The company has been increasingly more creative in their computer designs following the trend set by Apple Inc.Hewlett-Packard has created a ultra thin laptop called the Voodoo Envy. The laptop is less than a half inch thick and weights less than 3 1/2 pounds. It is priced at $2000. HP created the laptop to compete against Apple's MacBook Air and a model created by the Lenovo Group Ltd. Both these models were priced at around $3000.  The MacBook Air does not have removable batteries or a built-in socket for plugging into Ethernet networks.  HP's Voodoo envy does have removable batteries and offers an Ethernet port that is part of its power adapter.  The Voodoo can also be booted up in less than five seconds made possible by software developed by HP. -Refer to Voodoo Envy.With very few competitors and high product prices,those purchasing ultrathin computers now are probably the most venturesome consumers,also known as the _____.

Mosaic Labs has developed a chemical compound that prevents mildew in even the most humid climates.The week after the compound was invented,a group of the firm's employees got together and listed ways the product might be used.This is an example of:

The most important factor in successful new-product introductions is a good match between product and market needs.

The Internet offers a fast,cost-effective way to conduct test marketing.

All of the following are product characteristics influencing the rate of adoption EXCEPT:

A company has learned 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:

Concepts tests are considered fairly good predictors of success for line extensions and for products that do not require major changes in consumer behavior.

In the _____ stage of new-product development,the technical feasibility of manufacturing the new product is examined as a prototype is produced.

Very few firms follow a formal new-product development process.

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

There are five categories of adopters that participate in the diffusion process.Name and briefly describe each of these five categories in the correct order from earliest adopter to last adopter.

Voodoo Envy Hewlett-Packard is the number one seller of personal computers worldwide. The company has been increasingly more creative in their computer designs following the trend set by Apple Inc.Hewlett-Packard has created a ultra thin laptop called the Voodoo Envy. The laptop is less than a half inch thick and weights less than 3 1/2 pounds. It is priced at $2000. HP created the laptop to compete against Apple's MacBook Air and a model created by the Lenovo Group Ltd. Both these models were priced at around $3000.  The MacBook Air does not have removable batteries or a built-in socket for plugging into Ethernet networks.  HP's Voodoo envy does have removable batteries and offers an Ethernet port that is part of its power adapter.  The Voodoo can also be booted up in less than five seconds made possible by software developed by HP. -Refer to Voodoo Envy.Apple seems to have a success with its MacBook Air.However,not all of Apple's new product efforts have been successful.For example,the Newton Messagepad failed in the marketplace.While a revolutionary product that created the PDA industry,many consumers perceived the product as too big.For success,it is essential to have a good match between product _____ and consumer _____.

Which of the following products has the lowest level of trialability?

Explain why some products fail and others succeed.

_____ 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.

Fitbit 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.In terms of the new-product development process,Fitbit's availability in retail stores and online is the _____ stage.

The development of a garlic-butter flavored crescent rolls by Pillsbury would not be considered a new product since the company was already making crescent rolls.It would simply be called a line extension.

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

List four potential advantages that come to the company that is first to market.

Sony has developed a wireless speaker that sits unobtrusively on a desktop.The tiny,yet strong twin speakers use Bluetooth to stream music directly from your PC or MP3 player.This small Sony wireless speaker,which is radically different from anything currently on the market,would be classified as a(n):