Exam 7: New Product Planning and Development

Which of the following refers to the elapsed time between product definition and product availability?

Identifying huge consumer demand, Jumpstart Inc., an automobile manufacturer, pioneered the production of battery-operated cars. The product met with initial success in the market leading Jumpstart Inc. to increase production in huge volumes. However, over a period of time, consumer needs evolved and consumers sought more sophisticated technology-driven cars, and the sales of these cars dropped heavily. This illustrates the _____ risk that was not considered during the idea screening phase.

Which of the following denotes a growth direction through the increase in market share for present product markets?

Which of the following refers to a practical issue surrounding product safety?

Rita is a successful entrepreneur who owns a small coffee shop. She serves her customers her own homemade brew of coffee. Recently, she developed a new flavor of tasty brew and distributed free samples to her regular customers. She then sought their feedback on the new flavor. This is an example of _____.

Which of the following statements is true of new product planning and development?

MNM Foods Inc. manufactures jelly made out of gelatin in various fruit flavors. However, the sale of its current line of flavored jelly has significantly fallen. To recover losses, the company conducts market research and identifies that a significant amount of health benefits can be attributed to the consumption of the food jelly. The firm incorporated new promotion strategies so that consumers would retry the product owing to its projected health benefits. This is an example of:

"Only 50 and not more" is the tagline ValueFood Inc. uses to market its latest range of snacks. All snacks offered by this company are of a count of 50 calories as opposed to its competitor's high-calorie foods. In this case, ValueFood is marketing its product _____.

For the last decade, Value Foods has sold frozen vegetables in various types of sauces. In 2002, the company changed its packaging and began offering frozen vegetables in resealable bags with separate frozen-sauce pellets. In which of the new product categories would this new method of packaging frozen vegetables fall?

At which of the following stages of the new product development process has a new product idea been evaluated from the standpoint of engineering, manufacturing, finance, and marketing?

After spending years on experimentation in developing a new MP3 player, Musique Inc. has finally launched its new product in the market. The company has assigned its best marketing managers to handle the launch. It has also employed an extensive marketing campaign with advertisements on television, newspapers, and billboards. In which of the following stages of the new product development process is Musique currently?

Which of the following stages of new product development process involves expanding viable ideas into full product concepts?

The primary reason for new product failure is the inability of the selling company to match its offering to the _____.

Products that take a firm into a product type new to it but that are not new to the world are known as _____.

Which of the following is an example of a product development strategy?

Best City Corp. opened cell phone stores at nine locations in Manhattan to gauge consumer's reactions to them. These stores, called Best City Mobile, carried more than 80 cell phone brands from big manufacturers. Shoppers had the option to choose from seven cell phone carriers. Based on positive consumer reaction and the success of these stores, Best City Corp. opened stores nationwide. This is an example of _____.

Which of the following is an example of a strategic risk?

Joe and his team are working to develop a new product. They have been given a fixed budget and a rough estimate of the time left until the product must hit the market. The team's key concern is that the product would be too costly and time-consuming to produce. Which of the following kinds of risk is likely to be faced by Joe and his team?

The primary goal of a test market is to:

Members of a business development team are involved in the ongoing process of creating a new installation hardware device, owing to widespread consumer demand. They are worried that by the time the finished product hits the market, customers' needs might change. Consequently, the new device, unable to satisfy customers' current needs, would become a failure. Which of the following risks does this best exemplify?