Question 1

Although innovation strategies may not work in the long run,overriding short-term reasons compel firms to introduce new products and services.

Accepted Answer

A) True 
 B)False

Question 2

Innovators are a critical group of new product adopters because they

Accepted Answer

A)  are the major source of innovation. 
B)  act as reverse engineering consultants. 
C)  help with test marketing. 
D)  help the product gain market acceptance. 
E)  extend the product life cycle. 
A)  are the major source of innovation. 
B)  act as reverse engineering consultants. 
C)  help with test marketing. 
D)  help the product gain market acceptance. 
E)  extend the product life cycle.

Question 3

The fact that the Apple iPad is easy to try-demo units are available at Apple stores as well as other retail stores-is helping it diffuse more quickly.

Accepted Answer

A) True 
 B)False

Question 4

The diffusion of innovation curve follows the following sequence: innovators,early majority,early adopters,late majority,and laggards.

Accepted Answer

A) True 
 B)False

Question 5

Bob and George live in the United States.Bob recently asked for George's cell phone number,but George said he didn't own a cell phone.George would probably be considered a(n)__________ in the diffusion of innovation process.

Accepted Answer

A)  innovator 
B)  laggard 
C)  late majority adopter 
D)  early majority adopter 
E)  early adopter 
A)  innovator 
B)  laggard 
C)  late majority adopter 
D)  early majority adopter 
E)  early adopter

Question 6

The maturity phase of the product life cycle is characterized by greatly reduced competition.

Accepted Answer

A) True 
 B)False

Question 7

Why do you think that many biotechnology firms license their new products?

Accepted Answer

These firms specialize in new

Question 8

The Eiger Labs MPMan was the first mass-produced MP3 player sold in the United States.Eiger Labs was a(n)__________ in the MP3 player market.

Accepted Answer

A)  blockbuster 
B)  early adopter 
C)  pioneer 
D)  market tester 
E)  concept tester 
A)  blockbuster 
B)  early adopter 
C)  pioneer 
D)  market tester 
E)  concept tester

Question 9

When automobile manufacturers introduced SUVs,they distributed and promoted them in the United States,but not in Europe where gasoline is heavily taxed and roads are much smaller.Car manufacturers recognized that this new line of cars

Accepted Answer

A)  provided equivalent relative advantage for both European and U.S. customers. 
B)  were not compatible with European market conditions. 
C)  did not provide benefits that were observable. 
D)  involved technology that was too complex. 
E)  could not be easily tried by consumers. 
A)  provided equivalent relative advantage for both European and U.S. customers. 
B)  were not compatible with European market conditions. 
C)  did not provide benefits that were observable. 
D)  involved technology that was too complex. 
E)  could not be easily tried by consumers.

Question 10

Which of the following reflects the maturity stage of the product life cycle?

Accepted Answer

A)  Sales: low; Profits: negative or low; Typical consumers: innovators; Competitors: one or few 
B)  Sales: rising; Profits: rapidly rising; Typical consumers: early adopters and early majority; Competitors: few but increasing 
C)  Sales: declining; Profits: declining; Typical consumers: laggards; Competitors: low number of competitors and products 
D)  Sales: peak; Profits: peak to declining; Typical Consumers: late majority; Competitors: high number of competitors and competitive products 
E)  Sales: peak; Profits: increase; Typical Consumers: laggards; Competitors: low number of competitors 
A)  Sales: low; Profits: negative or low; Typical consumers: innovators; Competitors: one or few 
B)  Sales: rising; Profits: rapidly rising; Typical consumers: early adopters and early majority; Competitors: few but increasing 
C)  Sales: declining; Profits: declining; Typical consumers: laggards; Competitors: low number of competitors and products 
D)  Sales: peak; Profits: peak to declining; Typical Consumers: late majority; Competitors: high number of competitors and competitive products 
E)  Sales: peak; Profits: increase; Typical Consumers: laggards; Competitors: low number of competitors

Question 11

As soon as she saw one,Hillary wanted a flat-screen television,but she was worried about making the wrong choice.She waited until there were alternatives in the market with lower prices and improved quality.Hillary is part of the __________ diffusion of innovation group.

Accepted Answer

A)  innovator 
B)  laggard 
C)  late majority 
D)  early majority 
E)  early adopter 
A)  innovator 
B)  laggard 
C)  late majority 
D)  early majority 
E)  early adopter

Question 12

On the diffusion of innovation curve,the late majority is the final group of buyers who like to avoid change and rely on traditional products until they are no longer available.

Accepted Answer

A) True 
 B)False

Question 13

The growth phase of the product life cycle is always dynamic.All of the following occur during this phase except

Accepted Answer

A)  profits increase as sales increase. 
B)  profits increase as economies of scale are attained. 
C)  some new competitors may enter the market with similar products. 
D)  some competitors will exit in an "industry shakeout." 
E)  price competition with protracted price wars erodes profits. 
A)  profits increase as sales increase. 
B)  profits increase as economies of scale are attained. 
C)  some new competitors may enter the market with similar products. 
D)  some competitors will exit in an "industry shakeout." 
E)  price competition with protracted price wars erodes profits.

Question 14

A company has a new concept for a lightweight electric scooter that can be easily folded and taken with you inside a building or on public transportation.The company is currently engaged in concept testing.The most important question during this phase of product development pertains to

Accepted Answer

A)  the cost of research and development. 
B)  the price of the final product. 
C)  the cost to manufacture the product. 
D)  marketing and advertising costs. 
E)  the respondent's purchase intentions if the product were made available. 
A)  the cost of research and development. 
B)  the price of the final product. 
C)  the cost to manufacture the product. 
D)  marketing and advertising costs. 
E)  the respondent's purchase intentions if the product were made available.

Question 15

What is a "new-to-the-world" product,and how does this type of product impact markets and consumer preferences? Use an example to explain this concept.

Accepted Answer

New-to-the-world products crea

Question 16

On the diffusion of innovation curve,the first group of buyers who want to be the first on the block to have the new product are known as early adopters.

Accepted Answer

A) True 
 B)False

Question 17

New product development adds value to a firm's products and services through innovation.

Accepted Answer

A) True 
 B)False

Question 18

Why is it important for marketers to understand the product life cycle?

Accepted Answer

Product strategies and tactics

Question 19

Around 2006,hybrid cars moved from the early adopter to the early majority stage.What did this mean for marketers of hybrid cars?

Accepted Answer

It means sales were taking off; the earl

Question 20

To determine if a new product is commercially viable,a firm can conduct premarket testing.

Accepted Answer

A) True 
 B)False

Although innovation strategies may not work in the long run,overriding short-term reasons compel firms to introduce new products and services.

Innovators are a critical group of new product adopters because they

The fact that the Apple iPad is easy to try-demo units are available at Apple stores as well as other retail stores-is helping it diffuse more quickly.

The diffusion of innovation curve follows the following sequence: innovators,early majority,early adopters,late majority,and laggards.

Bob and George live in the United States.Bob recently asked for George's cell phone number,but George said he didn't own a cell phone.George would probably be considered a(n)__________ in the diffusion of innovation process.

The maturity phase of the product life cycle is characterized by greatly reduced competition.

Why do you think that many biotechnology firms license their new products?

The Eiger Labs MPMan was the first mass-produced MP3 player sold in the United States.Eiger Labs was a(n)__________ in the MP3 player market.

When automobile manufacturers introduced SUVs,they distributed and promoted them in the United States,but not in Europe where gasoline is heavily taxed and roads are much smaller.Car manufacturers recognized that this new line of cars

Which of the following reflects the maturity stage of the product life cycle?

As soon as she saw one,Hillary wanted a flat-screen television,but she was worried about making the wrong choice.She waited until there were alternatives in the market with lower prices and improved quality.Hillary is part of the __________ diffusion of innovation group.

On the diffusion of innovation curve,the late majority is the final group of buyers who like to avoid change and rely on traditional products until they are no longer available.

The growth phase of the product life cycle is always dynamic.All of the following occur during this phase except

A company has a new concept for a lightweight electric scooter that can be easily folded and taken with you inside a building or on public transportation.The company is currently engaged in concept testing.The most important question during this phase of product development pertains to

What is a "new-to-the-world" product,and how does this type of product impact markets and consumer preferences? Use an example to explain this concept.

On the diffusion of innovation curve,the first group of buyers who want to be the first on the block to have the new product are known as early adopters.

New product development adds value to a firm's products and services through innovation.

Why is it important for marketers to understand the product life cycle?

Around 2006,hybrid cars moved from the early adopter to the early majority stage.What did this mean for marketers of hybrid cars?

To determine if a new product is commercially viable,a firm can conduct premarket testing.

Overview of Marketing

Developing Marketing Strategies and a Marketing Plan

Conscious Marketing,corporate Social Responsibility,and Ethics

Analyzing the Marketing Environment

Consumer Behavior

Business-To-Business Marketing

Global Marketing

Segmentation,targeting,and Positioning

Marketing Research

Product,branding,and Packaging Decisions

Services: the Intangible Product

Pricing Concepts for Establishing Value

Supply Chain and Channel Management

Supply Chain and Channel Management

Retailing and Omnichannel Marketing

Integrated Marketing Communications

Advertising,public Relations,and Sales Promotions

Personal Selling and Sales Management

Filters

Exam 12: Developing New Products

Although innovation strategies may not work in the long run,overriding short-term reasons compel firms to introduce new products and services.

Innovators are a critical group of new product adopters because they

The fact that the Apple iPad is easy to try-demo units are available at Apple stores as well as other retail stores-is helping it diffuse more quickly.

The diffusion of innovation curve follows the following sequence: innovators,early majority,early adopters,late majority,and laggards.

Bob and George live in the United States.Bob recently asked for George's cell phone number,but George said he didn't own a cell phone.George would probably be considered a(n)__________ in the diffusion of innovation process.

The maturity phase of the product life cycle is characterized by greatly reduced competition.

Why do you think that many biotechnology firms license their new products?

The Eiger Labs MPMan was the first mass-produced MP3 player sold in the United States.Eiger Labs was a(n)__________ in the MP3 player market.

When automobile manufacturers introduced SUVs,they distributed and promoted them in the United States,but not in Europe where gasoline is heavily taxed and roads are much smaller.Car manufacturers recognized that this new line of cars

Which of the following reflects the maturity stage of the product life cycle?

As soon as she saw one,Hillary wanted a flat-screen television,but she was worried about making the wrong choice.She waited until there were alternatives in the market with lower prices and improved quality.Hillary is part of the __________ diffusion of innovation group.

On the diffusion of innovation curve,the late majority is the final group of buyers who like to avoid change and rely on traditional products until they are no longer available.

The growth phase of the product life cycle is always dynamic.All of the following occur during this phase except

A company has a new concept for a lightweight electric scooter that can be easily folded and taken with you inside a building or on public transportation.The company is currently engaged in concept testing.The most important question during this phase of product development pertains to

What is a "new-to-the-world" product,and how does this type of product impact markets and consumer preferences? Use an example to explain this concept.

On the diffusion of innovation curve,the first group of buyers who want to be the first on the block to have the new product are known as early adopters.

New product development adds value to a firm's products and services through innovation.

Why is it important for marketers to understand the product life cycle?

Around 2006,hybrid cars moved from the early adopter to the early majority stage.What did this mean for marketers of hybrid cars?

To determine if a new product is commercially viable,a firm can conduct premarket testing.

Overview of Marketing

Developing Marketing Strategies and a Marketing Plan

Conscious Marketing,corporate Social Responsibility,and Ethics

Analyzing the Marketing Environment

Consumer Behavior

Business-To-Business Marketing

Global Marketing

Segmentation,targeting,and Positioning

Marketing Research

Product,branding,and Packaging Decisions

Services: the Intangible Product

Pricing Concepts for Establishing Value

Supply Chain and Channel Management

Supply Chain and Channel Management

Retailing and Omnichannel Marketing

Integrated Marketing Communications

Advertising,public Relations,and Sales Promotions

Personal Selling and Sales Management

Filters