Exam 10: Developing and Managing Products

When friends of Brian Richardson went to the carnival,they always wanted to take him with them because Richardson had an uncanny ability to win almost every arcade game he played.Usually by the end of the evening his friends were also winning because Richardson did not mind sharing his secrets.His friends urged him to write a book.After several attempts,Richardson created The Secrets of Amusement Park Games-Revealed.In the 85-page book,Richardson reduces the art of playing arcade games to a science.According to him,the trick is to realize each game is not a game of chance.Richardson's mini-book is available at Amazon.com for $5.95. -Refer to Amusement Park Games.In terms of the new-product development process,Richardson's several unsuccessful attempts to put his thoughts on paper are an example of which of the following?

The marketing manager for Iams Pet Food wants to base the marketing strategy she implements for the company's products on the product life cycle stages.What should she do?

After years of development and testing,Jabra Corporation unveiled the Jabra 1000 earbud phone.The entire device fits in your ear.It resembles those tiny in-ear speakers that let you listen to an iPod in private-except that Jabra's unit is a transmitter as well.It picks up your voice by amplifying sound vibrations in your bones.Therefore,there's no microphone boom to jut out in front of your face.Because the bone vibrations must be amplified,a special chip in the part of the system that connects to the base of your phone uses noise-cancellation technology to screen out background sounds.This anti-noise chip generates a mirror image of outside noises,and the colliding sound waves erase each other.The main electronics package-about the size of a deck of cards-also monitors the quality of the phone line and automatically raises the volume of voice transmissions when the connection is weak.This tech-talk isn't cheap: the earbud phone lists for $329. -Refer to Jabra Corporation.The Jabra 1000 is superior to existing hands-free telephones,especially with its small size and single part.However,consumers may think its advantages over current hands-free phones may not be worth the additional cost.Thus,what might affect adoption?

Basically,all that happens in the development stage of the new-product process is that the first prototype of the product gets developed.

Oakley,the manufacturer of protective eyewear for sports enthusiasts,has recently introduced Oakley's Thump,UV sunglasses that allow the wearer to store and listen to 120 different songs.Which of the following product characteristics would likely exert the greatest influence on the market success of these new glasses?

Studies of the new-product development process over 30 years have concluded companies that are likely to succeed in developing and introducing new products exhibit certain characteristics.List three of the characteristics that improve the likelihood of successful product introduction.

Before the introduction of a spreadsheet for salespeople and sales managers,its features were presented to a group of potential consumers to allow them to compare alternative views of the spreadsheet in use on computer networks.Initially,group members expressed distrust in networks and nervousness about what other people would do to their spreadsheets.After using a program prototype,prospects were delighted with the product.What is this stage of new-product development called?

Market researchers have determined nine categories of lifestyles for computer users.One of the categories is described as "Hand-Shakers," who are typically managers who do not possess any computer skills but rather allow their assistants to provide all necessary technological knowledge.In terms of the diffusion process,how would "Hand-Shakers" most likely be classified for office technology?

New-product ideas that survive the initial screening process move to the business analysis stage.List six questions that are commonly asked during the business analysis stage.

Many product failures such as Cucumber antiperspirant spray,Toaster Eggs,and Health-Sea sea-sausages did not succeed because they did not conform to which product characteristic?

During the growth stage of the product life cycle which of the following happens?

What are three ways that test marketing can cause problems for a company? What are two alternatives that can be used instead of traditional test marketing?

A new medication to eliminate fungal growths on people's toenails may have a slow rate of adoption because it is not a highly visible item in homes.Also,this item is not often discussed among friends and coworkers.This is an example of how which characteristic can work to slow the adoption process?

Middleton has developed the Flybar 1200,an extreme pogo stick that propels users more than 1.5 metres into the air.A group was assigned the task of estimating preliminary demand for the product,costs (including issues with liability),sales,and future profitability.During which stage of its new-product development process would this have occurred?

Many years ago,Athens,Greece,was viewed as a necessary part of any tour of Europe.Then the city developed an image of a smoggy city choked with traffic.The Greek government realized package tour operators (a source of much of the tourist traffic in Greece)were unimpressed by the proposal to paint the facades of the buildings in Athens and to plant hundreds of trees and bushes.During which stage of its attempt to reposition Athens as a culture-filled destination for conventions would this have occurred?

Finland-based Rapala VMC Corporation is the world's largest fishing lure manufacturer.It developed its first fishing lure-a cigar-shaped minnow-in 1962.The annual market for fishing lures in terms of retail sales is approximately $600 million.Rapala VMC garnered one-third of that amount in 2003.New lures must be introduced each year in order to stay competitive in this industry.Like other lure manufacturers,Rapala focuses on two questions in developing and making new lures: Does it work,and does it look good? Developing a new lure takes two or three years and involves extensive field testing by tournament professionals and fishing guides.At the annual fishing industry trade show in 2008,Rapala unveiled the "dream lure for the 21st century." -Refer to Rapala VMC Corporation.After the trade show,the newest lure made by Rapala will enter which stage of the new-product development process?

When Middleton developed the Flybar 1200,an extreme pogo stick that propels users more than 1.5 metres feet into the air,it performed screening,development,and testing prior to commercialization of the product.

Seven employees at Ferguson Fabricators are trying to come up with ideas for new-product development.The employees are all in a room together,shouting out potential ideas.The ideas are written down and evaluated as they are generated.This is an example of brainstorming.

When friends of Brian Richardson went to the carnival,they always wanted to take him with them because Richardson had an uncanny ability to win almost every arcade game he played.Usually by the end of the evening his friends were also winning because Richardson did not mind sharing his secrets.His friends urged him to write a book.After several attempts,Richardson created The Secrets of Amusement Park Games-Revealed.In the 85-page book,Richardson reduces the art of playing arcade games to a science.According to him,the trick is to realize each game is not a game of chance.Richardson's mini-book is available at Amazon.com for $5.95. -Refer to Amusement Park Games.Some people might consider the use of Richardson's techniques to be unethical.This value judgment could adversely affect its adoption.What does the value judgment result from?

The makers of Jameson Irish whiskey believe its product has reached market saturation.This would imply that Irish whiskey is in the maturity stage of its product life cycle.