Question 1

_____ is a type of innovative product that requires customers adopting the innovation to significantly change their behavior.

Accepted Answer

A)  Fad innovation 
B)  Dynamically continuous innovation 
C)  Discontinuous innovation 
D)  Continuous innovation 
E)  Behavior-change innovation 
A)  Fad innovation 
B)  Dynamically continuous innovation 
C)  Discontinuous innovation 
D)  Continuous innovation 
E)  Behavior-change innovation

Question 2

Market introduction, market growth, market maturity, and sales decline are the four stages of the product life cycle.

Accepted Answer

A) True 
 B)False

Question 3

At Toyota, its Lexus designers attempt to make improvements to the car's design each year, even if those changes are minor ones. This process is an example of:

Accepted Answer

A)  continuous improvement. 
B)  concept testing. 
C)  product liability. 
D)  empowerment. 
E)  market testing. 
A)  continuous improvement. 
B)  concept testing. 
C)  product liability. 
D)  empowerment. 
E)  market testing.

Question 4

All of the following products are in the market maturity stage of the product life cycle except:

Accepted Answer

A)  laundry detergents. 
B)  breakfast cereals. 
C)  ultra high-definition TVs. 
D)  carbonated soft drinks. 
E)  gasoline-powered cars. 
A)  laundry detergents. 
B)  breakfast cereals. 
C)  ultra high-definition TVs. 
D)  carbonated soft drinks. 
E)  gasoline-powered cars.

Question 5

Many companies look to the developing world for breakthrough new products that meet global consumer needs at low cost.

Accepted Answer

A) True 
 B)False

Question 6

Full-scale market tests:

Accepted Answer

A)  Are unrealistic because they do not test the whole marketing mix. 
B)  Are not expensive. 
C)  Should always be skipped if management is sure that it understands consumer preferences. 
D)  May provide information to competitors. 
E)  Are used mostly for products that have high production costs and long lead times. 
A)  Are unrealistic because they do not test the whole marketing mix. 
B)  Are not expensive. 
C)  Should always be skipped if management is sure that it understands consumer preferences. 
D)  May provide information to competitors. 
E)  Are used mostly for products that have high production costs and long lead times.

Question 7

Product managers are especially common in small, single-product companies.

Accepted Answer

A) True 
 B)False

Question 8

Regarding product life cycles, which is true?

Accepted Answer

A)  Industry sales and profits tend to reach their maximum during the market maturity stage. 
B)  Product life cycles describe industry sales and profits within some product-market. 
C)  Product life cycles are generally getting shorter and cannot be extended. 
D)  Every new brand must pass through all four stages of the product life cycle. 
E)  All of these alternatives are TRUE. 
A)  Industry sales and profits tend to reach their maximum during the market maturity stage. 
B)  Product life cycles describe industry sales and profits within some product-market. 
C)  Product life cycles are generally getting shorter and cannot be extended. 
D)  Every new brand must pass through all four stages of the product life cycle. 
E)  All of these alternatives are TRUE.

Question 9

According to the text, a "new product" is one that is:

Accepted Answer

A)  physically changed. 
B)  unique. 
C)  new in any way for the company concerned. 
D)  completely new physically and conceptually. 
E)  None of these is a good answer. 
A)  physically changed. 
B)  unique. 
C)  new in any way for the company concerned. 
D)  completely new physically and conceptually. 
E)  None of these is a good answer.

Question 10

It is toward the end of the _____ stage of the product life cycle when industry profits begin to decline.

Accepted Answer

A)  market maturity 
B)  market introduction 
C)  market growth 
D)  sales decline 
E)  market decline 
A)  market maturity 
B)  market introduction 
C)  market growth 
D)  sales decline 
E)  market decline

Question 11

Empowerment means giving employees the authority to correct a problem on their own.

Accepted Answer

A) True 
 B)False

Question 12

During the market maturity stage of the product life cycle:

Accepted Answer

A)  some competitors drop out of the market-and no new firms enter. 
B)  persuasive promotion becomes more important. 
C)  promotion emphasizes the advantages of the basic product concept. 
D)  total industry sales and profits reach their maximum levels. 
E)  None of these alternatives are correct. 
A)  some competitors drop out of the market-and no new firms enter. 
B)  persuasive promotion becomes more important. 
C)  promotion emphasizes the advantages of the basic product concept. 
D)  total industry sales and profits reach their maximum levels. 
E)  None of these alternatives are correct.

Question 13

The stage of the new-product development process in which marketers evaluate the firm's strengths, weaknesses, and objectives is:

Accepted Answer

A)  idea generation. 
B)  screening. 
C)  idea evaluation. 
D)  development. 
E)  commercialization. 
A)  idea generation. 
B)  screening. 
C)  idea evaluation. 
D)  development. 
E)  commercialization.

Question 14

Regarding product life cycle planning, good marketing managers know that:

Accepted Answer

A)  a "me-too" new brand may immediately enter during market growth or market maturity. 
B)  every brand must go through the sales decline stage. 
C)  market introduction is usually profitable for the innovator. 
D)  any change in an existing product results in a new product life cycle. 
E)  All of these alternatives are true. 
A)  a "me-too" new brand may immediately enter during market growth or market maturity. 
B)  every brand must go through the sales decline stage. 
C)  market introduction is usually profitable for the innovator. 
D)  any change in an existing product results in a new product life cycle. 
E)  All of these alternatives are true.

Question 15

In the new-product development process discussed in the text, the burden is on the new-product idea to prove itself or be rejected.

Accepted Answer

A) True 
 B)False

Question 16

The sales and profits of an individual brand always follow the life-cycle pattern.

Accepted Answer

A) True 
 B)False

Question 17

Product managers:

Accepted Answer

A)  Are especially common in large companies. 
B)  Are sometimes responsible for a product's whole marketing effort. 
C)  Coordinate their efforts with individuals within and outside the company. 
D)  May serve as "product champions" in planning and implementing the promotion effort. 
E)  All of these alternatives are correct. 
A)  Are especially common in large companies. 
B)  Are sometimes responsible for a product's whole marketing effort. 
C)  Coordinate their efforts with individuals within and outside the company. 
D)  May serve as "product champions" in planning and implementing the promotion effort. 
E)  All of these alternatives are correct.

Question 18

Which of the following statements does not accurately characterize new-product development?

Accepted Answer

A)  New-product development is costly. 
B)  Some companies move too fast to launch a new product. 
C)  Some companies move too slow to launch a new product. 
D)  New-product development has a high risk of failure. 
E)  New-product development has a low risk of failure. 
A)  New-product development is costly. 
B)  Some companies move too fast to launch a new product. 
C)  Some companies move too slow to launch a new product. 
D)  New-product development has a high risk of failure. 
E)  New-product development has a low risk of failure.

Question 19

During the market introduction stage of the product life cycle:

Accepted Answer

A)  large profits are typical-until competition arrives. 
B)  Price and Promotion are more important than Place and Product. 
C)  much money is spent on Promotion, while spending on Place is left until later. 
D)  money is invested-in the hope of future profits. 
E)  most customers will try really new products. 
A)  large profits are typical-until competition arrives. 
B)  Price and Promotion are more important than Place and Product. 
C)  much money is spent on Promotion, while spending on Place is left until later. 
D)  money is invested-in the hope of future profits. 
E)  most customers will try really new products.

Question 20

During the sales decline stage of the product life cycle, no firm can earn a profit.

Accepted Answer

A) True 
 B)False

_____ is a type of innovative product that requires customers adopting the innovation to significantly change their behavior.

Market introduction, market growth, market maturity, and sales decline are the four stages of the product life cycle.

At Toyota, its Lexus designers attempt to make improvements to the car's design each year, even if those changes are minor ones. This process is an example of:

All of the following products are in the market maturity stage of the product life cycle except:

Many companies look to the developing world for breakthrough new products that meet global consumer needs at low cost.

Full-scale market tests:

Product managers are especially common in small, single-product companies.

Regarding product life cycles, which is true?

According to the text, a "new product" is one that is:

It is toward the end of the _____ stage of the product life cycle when industry profits begin to decline.

Empowerment means giving employees the authority to correct a problem on their own.

During the market maturity stage of the product life cycle:

The stage of the new-product development process in which marketers evaluate the firm's strengths, weaknesses, and objectives is:

Regarding product life cycle planning, good marketing managers know that:

In the new-product development process discussed in the text, the burden is on the new-product idea to prove itself or be rejected.

The sales and profits of an individual brand always follow the life-cycle pattern.

Product managers:

Which of the following statements does not accurately characterize new-product development?

During the market introduction stage of the product life cycle:

During the sales decline stage of the product life cycle, no firm can earn a profit.

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Marketing Environment

Focusing Marketing Strategy With Segmentation and Positioning

Final Consumers and Their Buying Behavior

Business and Organizational Customers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Place and Development of Channel Systems

Distribution Customer Service and Logistics

Retailers, Wholesalers, and Their Strategy Planning

Promotionintroduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Implementing and Controlling Marketing Plans: Evolution and Revolution

Managing Marketings Link With Other Functional Areas

Ethical Marketing in a Consumer-Oriented World

Filters

Exam 9: Product Management and New-Product Development

_____ is a type of innovative product that requires customers adopting the innovation to significantly change their behavior.

Market introduction, market growth, market maturity, and sales decline are the four stages of the product life cycle.

At Toyota, its Lexus designers attempt to make improvements to the car's design each year, even if those changes are minor ones. This process is an example of:

All of the following products are in the market maturity stage of the product life cycle except:

Many companies look to the developing world for breakthrough new products that meet global consumer needs at low cost.

Full-scale market tests:

Product managers are especially common in small, single-product companies.

Regarding product life cycles, which is true?

According to the text, a "new product" is one that is:

It is toward the end of the _____ stage of the product life cycle when industry profits begin to decline.

Empowerment means giving employees the authority to correct a problem on their own.

During the market maturity stage of the product life cycle:

The stage of the new-product development process in which marketers evaluate the firm's strengths, weaknesses, and objectives is:

Regarding product life cycle planning, good marketing managers know that:

In the new-product development process discussed in the text, the burden is on the new-product idea to prove itself or be rejected.

The sales and profits of an individual brand always follow the life-cycle pattern.

Product managers:

Which of the following statements does not accurately characterize new-product development?

During the market introduction stage of the product life cycle:

During the sales decline stage of the product life cycle, no firm can earn a profit.

Marketings Value to Consumers, Firms, and Society

Marketing Strategy Planning

Evaluating Opportunities in the Changing Marketing Environment

Focusing Marketing Strategy With Segmentation and Positioning

Final Consumers and Their Buying Behavior

Business and Organizational Customers and Their Buying Behavior

Improving Decisions With Marketing Information

Elements of Product Planning for Goods and Services

Place and Development of Channel Systems

Distribution Customer Service and Logistics

Retailers, Wholesalers, and Their Strategy Planning

Promotionintroduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Implementing and Controlling Marketing Plans: Evolution and Revolution

Managing Marketings Link With Other Functional Areas

Ethical Marketing in a Consumer-Oriented World

Filters