Exam 8: Developing and Managing Products and Services

The ________ of the product mix refers to how closely related the various product lines are in end use, production requirements, distribution channels, or some other way.

A product idea is an idea for a possible product a company can offer the market, while a product concept is a detailed version of the idea stated in meaningful consumer terms.

A manufacturer with a product in the decline stage of the product life cycle might decide to ________ if it has reason to hope that competitors will leave the industry.

The major purpose of test marketing is to provide management with the information needed to make a final decision about ________.

A firm can obtain new products in two ways: acquisition or new-product development.

Some products that have entered the decline stage have been cycled back to the growth stage through ________.

Because so many purchase decisions are made in stores, a product's packaging may be a seller's last and best chance to influence consumers.

What are the two ways that a company can obtain new products?

Service inseparability means that the quality of services depends on when, where, and how it is provided.

A sensational ________ may grab consumers' attention and produce pleasing aesthetics, but it does not necessarily improve a product's performance.

Service providers must consider four special service characteristics when designing marketing programs. They are ________.

Give three examples of specialty products.

Which stage in the PLC normally lasts longer and poses strong challenges to the marketing managers?

The stage at which new product and marketing programs are introduced into realistic market settings is called concept testing.

What is the advantage of using a concrete and physical presentation of the product concept in the concept testing stage of new-product development?

Under what circumstances might it be wise for a company to invest in a test market?

Why might a company pursue a strategy of less product mix consistency?

Lack of product differentiation is a common reason that new products fail.

Successful service companies focus their attention on both their customers and their employees.

Cannibalization and customer confusion about product differentiation are two potential results if line filling is overdone.