Exam 11: Developing and Managing Products

_____ are eager to try new ideas and products.They typically have higher incomes,are better educated,and are more cosmopolitan than other categories of adopters.

Firms that routinely experience success in new-product introduction tend to have:

Which of the following statements about simultaneous product development is true?

Profits typically reach their peak during the growth stage of the product life cycle.

After the research team at Nabisco had generated more than two dozen new-product ideas for a substitute for partially hydrogenated oils that tastes the same but has zero trans fat,the company formed a committee to analyze whether the product ideas were consistent with the organization's new-product strategy.This is called:

Going to the Dogs Demand for pet services is greatly increasing across the United States. In fact, Americans will spend nearly $44 billion dollars on their pets this year. Many American dog owners are seeking out "doggy daycares" that are more like a resort or spa than an ordinary kennel for their canine companion. Daycare services for dogs now include toy rooms, outside play areas, doggie massages, treadmills, swimming pools and cushy beds for nap time. Pet owners can watch their pets via a Web cam and some doggy daycares have a phone where owners can talk to their dog when they feel their pet needs to hear their voice. Rates vary from $20 to $45 a day per pet, depending on the amenities that the pet owner chooses. -Refer to Going to the Dogs.One challenge to adoption of the dog daycare is the fact that dog owners are used to paying a somewhat minimal fee for boarding their dog in a kennel,while a daycare center may demand many times as much for the same time span.This suggests the _____ of the new product may affect the rate of diffusion.

The product life cycle concept encourages marketing managers to act reactively.

During the maturity stage of the product life cycle,marginal competitors start dropping out of the market.

_____ evaluate new-product ideas usually before any prototype has been created.

The process of converting applications for new technologies into marketable products is called:

All of the following are categories of adopters in the diffusion process of innovations EXCEPT:

You are a product manager for a manufacturer of trampolines.You have determined that the trampoline is in the maturity stage of the product life cycle.To keep your product from entering the decline stage,you should:

Normally,the longest stage of the product life cycle is the _____ stage.

All of the following are reasons products fail EXCEPT:

Patio furniture,lighting fixtures,microwave ovens,canned corn,and athletic shoes are examples of:

Concepts tests are considered fairly good predictors of success for line extensions and for products that do not require major changes in consumer behavior.

All of the following are product characteristics influencing the rate of adoption EXCEPT:

When Coca-Cola North American debuted Gold Peak iced tea,a spokesperson for the company said,"In looking at the ready-to-drink tea market,we found that the one place that nobody seemed to be playing was in the category of classic iced teas like mother used to make.Gold Peak is a quality product that brings back that classic taste.We're going to do a lot of sampling with this product because we believe that if people try it,they're going to love it and stick with it." In other words,its adoption rate will rely on its:

A European dairy,which is famous for its rich ice creams,has introduced basil,tomato,fennel,and oregano flavored ice creams.In the process of developing these new flavors,the dairy surveyed world-famous chefs to determine which nontraditional flavors had the greatest level of marketability.This survey would have happened during which stage of the product development process?

Voodoo Envy Hewlett-Packard is the number one seller of personal computers worldwide.  The company has been increasingly more creative in their computer designs following the trend set by Apple Inc. Hewlett-Packard has created a ultra thin laptop called the Voodoo Envy.  The laptop is less than a half inch thick and weights less than 3 1/2 pounds.  It is priced at $2000.  HP created the laptop to compete against Apple's MacBook Air and a model created by the Lenovo Group Ltd.  Both these models were priced at around $3000.   The MacBook Air does not have removable batteries or a built-in socket for plugging into Ethernet networks.   HP's Voodoo envy does have removable batteries and offers an Ethernet port that is part of its power adapter.   The Voodoo can also be booted up in less than five seconds made possible by software developed by HP. -Refer to Voodoo Envy.Even though HP offers other laptop computers,the Voodoo Envy is HP's first entry into the ultrathin computer market.It is not really an update of an existing laptop.Instead,it was originally designed as an ultrathin laptop.As such it is an example of a _____.