Exam 14: Consumers and the Diffusion of Innovations

Define and give examples of the four types of definitions of innovations.

The degree to which potential customers perceive new product as superior to existing substitutes is its ________.

TABLE MINI CASE: Cynthia recently saw a new coffee table being offered by a popular furniture designer. She thinks the table would go nicely in her living room.Her friend, Steve, has very tasteful furniture in his home and seems to know quite a bit about furniture, so Cynthia asks Steve for advice about whether the coffee table would match the other design elements in her living room.Cynthia spends about three weeks thinking about it before she makes the decision to buy the table. -In the TABLE MINI CASE,when Cynthia ultimately decides that she really likes the table and buys it,she is at the ________ stage of the adoption process.

What is the marketing significance of rate of adoption? How can a slower rate of adoption be beneficial to the marketer?

The ________ is the earliest consumer to buy a new product.

The traditional five adopter categories present in diffusion literature include all potential consumers present in the marketplace.

In what ways is the traditional adoption process model inadequate in its depiction of the consumer adoption process?

There is no universally accepted definition of the terms product innovation or new product.

The development of MP3 players,when consumers were used to listening to their music on CD or cassette tape players,constitutes ________.

The acceptance of such convenience foods as frozen French fries,instant puddings,and microwave dinners,which are simple to understand and use,is generally due to their minimal ________.

A ________ involves the introduction of a modified product rather than a totally new product,and has the least disruptive influence on established patterns.

Consumer innovators are more socially accepted and socially involved than noninnovators.

When a social system is ________ in orientation,the acceptance of innovations is likely to be high.

The degree to which potential consumers feel a new product is consistent with their present needs,values,and practices is a measure of its ________.

Consumer innovators are not as interested as late adopters or nonadopters in the product categories that they are among the first to purchase.

COPY MINI CASE: Speedy Copy just opened a new store in South Hills Shopping Center.The store offers copy, fax, and binding services, and sells related office supplies.To encourage people to visit the store, Speedy Copy sends a flier to local homes and businesses with a coupon for using their services.In an attempt to discourage similar stores from opening in the surrounding shopping centers, Speedy Copy has priced its services to be very inexpensive, in the hopes that increased consumer purchase volumes will balance out the store's decreased profit margin. Ken works just down the street from South Hills Shopping Center and makes a point of visiting Speedy Copy on its opening day.He finds the store to be understaffed and under equipped to meet his needs and sends an e-mail to his friends at work, telling them that the store isn't worth visiting. -At the end of the COPY MINI CASE,Ken has reached the ________ stage of the adoption process.

The Gillette Fusion razor blade,which has four blades instead of three or two,is best described as a ________.

Because motivated consumer innovators can influence the rate of acceptance or rejection of a new product,they influence its eventual success or failure.

Use innovativeness involves meeting an old need with a new product specifically designed for that purpose.

A(n)________ involves setting a relatively low introductory price designed to discourage competition from entering the market.