Exam 20: Introducing New Marketing Offerings

A "product idea" is a possible product the company might offer to the market.

Companies handle the organizational aspect of new-product development in several ways. List the various ways companies internally breakout the new product process.

PVRs are a recent invention that seem to be rapidly increasing in popularity. The fact that they offer features that enhance standard television viewing is in keeping with which of the characteristics that influence the rate of adoption?

When the major car companies added "drink holders" to the design of their cars, they were practicing ________ where the firm attaches high importance to incorporating customer preferences in the final designs.

Five characteristics influence the rate of adoption of an innovation. Which one means the degree to which the innovation appears superior to existing products?

Which of the following factors that tend to hinder new-product development is due to the fact that there may be few ways left to improve some basic products?

Combining two product ideas or concepts to create a new offering, for example, oil change/lubrication facilities with cafes is an example of

The amount of market testing may be severely reduced if the company is under great time pressure because the season is just starting or because competitors are about to launch competitive brands.

In commercializing a new product, market-entry timing is critical. Suppose your company has completed its development work on its new "pet food feeder" product but learns that a competitor is close to launching a competitive product. What three choices does the company face?

You have been asked to try a firm's new line of potato chips at no cost to you. Now you have been approached by the firm and asked if you would pay $1.00 per bag for these chips (regular price $1.99) or would you prefer your regular brand of potato chips. You choose your favourite brand of chips instead. The firm then offers you the option of purchasing their chips for $.90 per bag. You are participating in a

One of the characteristics that influence the rate of adoption is divisibility. What is meant by divisibility and how could it speed or slow the adoption of new mobile phone products?

The success of the cell phone is due in part to its ease of use (complexity) and the fact that the cell phone matches the values and experiences of individuals. In the adoption process, this describes which of the processes that speeds the adoption process?

The number-one success factor to new product development is a unique, superior product. Such products succeed _______ percent of the time.

"Our product is a powdered mixture that is added to milk to make an instant breakfast that gives the person all the needed nutrition along with good taste and high convenience. The product would be offered in three flavors and would come in individual packets, six to a box, at $2.49 a box." This is an example of

The degree to which the beneficial results of an innovations use are observable or describable to others is called

Your firm has a new product concept that seems to be a "sure winner." You have estimated that the cost of development is $1 million that the company does not have. As a result, this "sure winner" does not get out of the idea stage. This is an example of ________, which is one of the factors hindering new product development.

________ means presenting the product concept to target consumers, symbolically of physically, and getting their reactions.

McCain, Maple Leaf, and Maytag are three companies that innovate continuously and are stock-gain leaders in their respective industries. Companies that fail to develop new products are putting themselves at risk. Explain why this is true.

High investment high-risk products, where the chance of failure is high, do not necessarily need to be market tested.

In an economy of change, continuous innovation is necessary. Comment on why a company should continuously develop new products.