Exam 21: Developing and Managing Products

Seven employees from a company 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.

Oakley,a manufacturer of protective eyewear for various kinds of sports,has introduced sunglasses that play music.The glasses weigh just a few ounces and can hold up to 120 songs.These sunglasses would be an example of a(n):

The process by which the adoption of 3D HD televisions spreads is an example of:

Martina loves her new Kindle and has tweeted to her followers several times about how great the product is.This is an example of communication directly from the marketer to potential adopters.

Name five sources of new-product ideas.Which two techniques are considered the most useful for generating creative thinking for new-product ideas?

Rapala VMC Corporation 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 2008. 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.The degree to which the newest lures are perceived as superior to earlier models refers to their _____,a characteristic used to predict the rate of adoption.

Name and describe the six categories of new products.

The product life cycle is a biological metaphor that traces the stages of a product's acceptance,from its introduction (birth)to its decline (death).

Describe the idea screening stage of the new-product development process.Describe a common test used during the screening stage.

The process by which the adoption of an innovation spreads is referred to as:

A VCR player is a good example of a product in the maturity stage of the product life cycle.

Which product characteristic affecting the rate of adoption represents the degree to which the new product is consistent with existing values and product knowledge,past experiences,and current needs?

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

In the _____ stage of new-product development,preliminary demand,cost,sales,and profitability estimates are made.

A firm's new-product strategy links the new-product development process with the objectives of the marketing departments,the business unit,and the corporation.

The _____ adopt a product because most of their friends have already done so,and their adoption is usually the result of pressure to conform because they rely on group norms.

Dial Corporation has introduced Dial Basics,a premium soap product with an emphasis on value.Dial Basics would be an example of which strategy to create a new product?

Which of the following adopters is MOST likely to become an opinion leader?

The first filter in the product development process is called screening.

Apple recently introduced a newly designed iPod nano with Multi-Touch capability,a built-in FM radio,and mix-making Genius.Since it was not trying to reach a new target market,Apple was using which new product strategy?