Exam 8: Developing and Managing Products and Services

Consider a massage. What service characteristics definitely define the massage as a service?

Compare product mix width, length, consistency, and depth.

Helene Curtis began to market shampoo for normal hair. In an attempt to increase profits and use excess market capacity, Helene Curtis then marketed shampoo for oily hair and colour-treated hair. This is an example of ________.

A new approach to idea generation invites broad communities of internal and external people into the new product innovation process. This approach is called ________.

Marketers can prolong the lives of many products in the maturity or decline stages of the PLC, sometimes even moving these products back into the growth stage. How can this happen?

Unsought products are products that the customer buys frequently, immediately, and with a minimum of comparison and buying effort.

________ refers to a detailed version of the new-product idea stated in meaningful consumer terms.

Blair Housewares wants to add new lines of products to its 46-store chain. Managers are correct in believing that the purpose of idea generation is to create a few ideas, and the purpose of succeeding stages is to increase that number.

Companies rarely solicit ideas from customers during the idea generation stage of product development.

A product's ________ contributes to the customer's product-use experience.

What does test marketing tell the company? Why would a company want to perform test marketing?

The service-profit chain is the set of all product lines and items that a particular seller offers for sale.

Product mix ________ refers to the number of versions offered of each product in the line. Crest toothpaste comes in 13 varieties, ranging from Crest Multicare to Crest Baking Soda formulations.

At the very least, the ________ identifies the product or brand. It might also describe several things about the product and promote the brand.

Herb Marks built his enterprise on the faithful patronage of four specialty shops and a large contract from Elmore Distributors. But after two years, the maker of novelty pens and pencils had to rethink his strategy when his two-year contract with Elmore ended. Herb built a company reputation on the manufacturing and distribution of a variety of wooden writing utensils with customized engravings. Specialty shops loved to display the products in their fancy, lighted showcases, but such specialty shops alone were not profitable. Herb Marks established a brand name, known merely as Marks, and decided to expand on it. Herb extended his writing utensil lines to include quills, felt-tip pens, and multiple-cartridge pens that write in different colors. He even added a line of various grades of personalized stationery and business cards. Perhaps Herb's biggest added touch, however, was the addition of two salespeople who would work to explain the diverse array of products offered by Marks, as well as nurture existing accounts. "We make an excellent product," Herb Marks stated, "and we honour a good guarantee on everything we sell. But let's face it—we face hundreds of competitors! We need Marks representatives out there to help prospects understand what they should demand in something as simple as a writing tool." The Marks brand is now fast-becoming synonymous with top-notch customer service. Part of the purchase package brought personal visits from the Marks representative, before the purchase and long after. -Describe Herb's core product.

According to the authors, what is the next step in the new-product development process after a product has passed concept and product tests?

A detailed version of a new idea stated in meaningful customer terms is called a ________.

Most products in the marketplace are in the ________ stage of the product life cycle.

GrayBerry Gifts has just brainstormed a large number of ideas for adding new products and services after visiting several buying fairs. The owners will begin the first idea-reducing stage, called ________, to arrive at a realistic number to adopt.

A company can create a competitive product by adding ________.