Exam 13: Conceiving, Developing, and Managing Products

A manufacturer changes its marketing strategy to offer a three-year warranty (while the rest of the industry offers a one-year warranty) in an attempt to create an important differential advantage in a very competitive market with stable sales. The product is in which product life-cycle stage?

A firm first positions a new product offering relative to competitors and its own brands during which stage of the new-product planning process?

A major disadvantage of using laboratory-oriented sources for new product ideas is

In the diffusion process, innovators tend to be

When products reach the late majority and laggard markets, they are in the maturity stage of the product life cycle.

A firm can modify its marketing strategy to speed up the rate of adoption by stressing that the product has high risk and is a major innovation.

A major disadvantage associated with test marketing is the difficulty in

Problems associated with production, such as a new product not meeting technical specifications, generally occur in which new-product planning stage?

A product manager learns that only 20 percent of the potential supermarkets have initially agreed to display a new brand of instant coffee in single-serving sizes. Through an extensive couponing effort, an additional 10 percent of the supermarkets have begun to display the new product. In which stage of the new-product planning process would these data be generated?

Which of the following stages of the new-product planning process is most costly for a major innovation?

Studies of new-product failure by different researchers may reach different conclusions depending upon whether the various researchers define failure on an absolute or relative basis.

Test marketing is most accurately characterized by the

The product screening stage of the new-product planning process is the first stage in which any formal consumer feedback about a product idea is obtained.

In which stage of the new-product planning process are weighted product/market attributes and cutoff scores used?

The new-product planning process can terminate at any point in the process.

Compared with product screening, the business analysis stage of the new-product planning process is more apt to be based on

Which of the following is NOT an optimal use of test marketing results?

A firm with an established distribution network would benefit by seeking new products that use the same distribution channels.

In the diffusion process, the mass market is comprised of

In the business analysis stage of new-product planning, all projects should have the same return on investment requirements, regardless of risk.