Question 1

When introducing a really new product, the marketer should be concerned about building channels of distribution, but not about promotion.

Accepted Answer

A) True 
 B)False

Question 2

Gradual "rollouts" are characteristic of which step of the new-product development process?

Accepted Answer

A)  Idea generation 
B)  Development 
C)  Idea screening 
D)  Idea evaluation 
E)  Commercialization 
A)  Idea generation 
B)  Development 
C)  Idea screening 
D)  Idea evaluation 
E)  Commercialization

Question 3

Firms should try to develop marketing mixes that make the most of the market growth stage of the product life cycle--when profits are highest.

Accepted Answer

A) True 
 B)False

Question 4

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 5

Which statement is TRUE about products in the sales decline stage of the product life cycle?

Accepted Answer

A)  Brand managers should phase-out this product as quickly as possible. 
B)  A declining product may still be profitable for some time and it might be more appropriate to phase-out this product gradually. 
C)  Customers will always abandon the declining product immediately if an alternative is available. 
D)  Phasing-out a product at this time is fairly easy and this strategy will cut future losses. 
E)  None of these statements about the sales decline stage is true. 
A)  Brand managers should phase-out this product as quickly as possible. 
B)  A declining product may still be profitable for some time and it might be more appropriate to phase-out this product gradually. 
C)  Customers will always abandon the declining product immediately if an alternative is available. 
D)  Phasing-out a product at this time is fairly easy and this strategy will cut future losses. 
E)  None of these statements about the sales decline stage is true.

Question 6

In the idea evaluation stage

Accepted Answer

A)  an actual product is developed. 
B)  companies cannot estimate likely costs. 
C)  concept testing is used for getting reactions from customers. 
D)  there is some engineering to design and develop the physical part of a product. 
E)  the final ROI is estimated. 
A)  an actual product is developed. 
B)  companies cannot estimate likely costs. 
C)  concept testing is used for getting reactions from customers. 
D)  there is some engineering to design and develop the physical part of a product. 
E)  the final ROI is estimated.

Question 7

Which of the following is a common cause of new product failures?

Accepted Answer

A)  The product fails to offer the customer a unique benefit. 
B)  The company tries to follow an organized new-product development process--rather than using a faster and more spontaneous, "race-to-market" approach. 
C)  The managers worry too much about the competition. 
D)  The company delays putting the product on the market until it develops a complete marketing plan. 
E)  All of these are common causes of new product failures. 
A)  The product fails to offer the customer a unique benefit. 
B)  The company tries to follow an organized new-product development process--rather than using a faster and more spontaneous, "race-to-market" approach. 
C)  The managers worry too much about the competition. 
D)  The company delays putting the product on the market until it develops a complete marketing plan. 
E)  All of these are common causes of new product failures.

Question 8

Wujin Chu, marketing manager for Innovative Electronics Products, reviews a S.W.O.T. analysis to help him evaluate four new product ideas his company is currently considering. Chu is operating in the ____ step of the new-product development process.

Accepted Answer

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

Question 9

In the MARKET GROWTH stage of the product life cycle:

Accepted Answer

A)  competing products become almost the same in the minds of potential consumers. 
B)  distribution moves from intensive to selective. 
C)  many competitors drop out of the market. 
D)  total industry sales increase very slowly. 
E)  total industry profits reach their peak and begin to decline. 
A)  competing products become almost the same in the minds of potential consumers. 
B)  distribution moves from intensive to selective. 
C)  many competitors drop out of the market. 
D)  total industry sales increase very slowly. 
E)  total industry profits reach their peak and begin to decline.

Question 10

The Consumer Product Safety Commission can:

Accepted Answer

A)  back up its orders with jail sentences. 
B)  set safety standards for products. 
C)  back up its orders with fines. 
D)  order return of "unsafe products." 
E)  All of these alternatives are correct. 
A)  back up its orders with jail sentences. 
B)  set safety standards for products. 
C)  back up its orders with fines. 
D)  order return of "unsafe products." 
E)  All of these alternatives are correct.

Question 11

In the idea generation stage of the new-product development process

Accepted Answer

A)  many new ideas in business markets come from competitors. 
B)  customers are given new products to test. 
C)  a S.W.O.T. analysis helps evaluate new product ideas. 
D)  a firm decides which ideas to pursue based on return on investment screening. 
E)  final ROI estimates are done. 
A)  many new ideas in business markets come from competitors. 
B)  customers are given new products to test. 
C)  a S.W.O.T. analysis helps evaluate new product ideas. 
D)  a firm decides which ideas to pursue based on return on investment screening. 
E)  final ROI estimates are done.

Question 12

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 13

A "rollout" happens in the ____ step of the new-product development process.

Accepted Answer

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

Question 14

Regarding new-product development, market tests:

Accepted Answer

A)  are used mostly for durable products because of their high production costs and risks. 
B)  seek customer reactions to ideas--not actual products. 
C)  should test the product and specific marketing mix variables. 
D)  are not very costly, but take a long time to do. 
E)  None of these alternatives is correct. 
A)  are used mostly for durable products because of their high production costs and risks. 
B)  seek customer reactions to ideas--not actual products. 
C)  should test the product and specific marketing mix variables. 
D)  are not very costly, but take a long time to do. 
E)  None of these alternatives is correct.

Question 15

When purchasing consumer electronics or other high-technology products, most consumers are aware that within a year after making a purchase, it is likely that a new model--or an entirely new product idea--will offer more features for the same amount of money. This phenomenon is a good example of the fact that:

Accepted Answer

A)  Product life cycles are getting longer. 
B)  Product life cycles are getting shorter. 
C)  The product life cycle rarely changes in length. 
A)  Product life cycles are getting longer. 
B)  Product life cycles are getting shorter. 
C)  The product life cycle rarely changes in length.

Question 16

____ refers to a commitment to constantly make things better one step at a time.

Accepted Answer

A)  Just-In-Time 
B)  Ladder approach 
C)  Continuous improvement 
D)  Production focus 
E)  Sales orientation 
A)  Just-In-Time 
B)  Ladder approach 
C)  Continuous improvement 
D)  Production focus 
E)  Sales orientation

Question 17

Which of the following is true of product liability?

Accepted Answer

A)  Product liability is a consideration, but it's not important until the development stage of the new-product development process. 
B)  Relative to most other countries, U.S. courts enforce a very strict product liability standard. 
C)  Sellers are usually not held responsible for injuries related to their products especially when the items are well designed. 
D)  None of these statements is true. 
A)  Product liability is a consideration, but it's not important until the development stage of the new-product development process. 
B)  Relative to most other countries, U.S. courts enforce a very strict product liability standard. 
C)  Sellers are usually not held responsible for injuries related to their products especially when the items are well designed. 
D)  None of these statements is true.

Question 18

According to your text, which of the following is an example of a "new product"?

Accepted Answer

A)  An existing product that has been modified in some way. 
B)  An existing product for which new uses have been found in other product-markets. 
C)  A wholly new product idea. 
D)  An existing product being offered to new markets. 
E)  All of these are examples of a "new product." 
A)  An existing product that has been modified in some way. 
B)  An existing product for which new uses have been found in other product-markets. 
C)  A wholly new product idea. 
D)  An existing product being offered to new markets. 
E)  All of these are examples of a "new product."

Question 19

Seeking to stop declining sales for an established mouthwash, a sales manager suggests that new coloring be added to the product and a major promotion effort be started for the "new" product. The Federal Trade Commission would:

Accepted Answer

A)  be concerned about the possibility of the firm getting a monopoly. 
B)  allow the company to call the product "new" for only six months. 
C)  probably not approve of this at all because the product doesn't meet the FTC's definition of "new." 
D)  allow the promotion effort if it felt that consumers would think the coloring made it "new." 
E)  none of these alternatives is correct. 
A)  be concerned about the possibility of the firm getting a monopoly. 
B)  allow the company to call the product "new" for only six months. 
C)  probably not approve of this at all because the product doesn't meet the FTC's definition of "new." 
D)  allow the promotion effort if it felt that consumers would think the coloring made it "new." 
E)  none of these alternatives is correct.

Question 20

The last step in the new-product development process is:

Accepted Answer

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

When introducing a really new product, the marketer should be concerned about building channels of distribution, but not about promotion.

Gradual "rollouts" are characteristic of which step of the new-product development process?

Firms should try to develop marketing mixes that make the most of the market growth stage of the product life cycle--when profits are highest.

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

Which statement is TRUE about products in the sales decline stage of the product life cycle?

In the idea evaluation stage

Which of the following is a common cause of new product failures?

Wujin Chu, marketing manager for Innovative Electronics Products, reviews a S.W.O.T. analysis to help him evaluate four new product ideas his company is currently considering. Chu is operating in the ____ step of the new-product development process.

In the MARKET GROWTH stage of the product life cycle:

The Consumer Product Safety Commission can:

In the idea generation stage of the new-product development process

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

A "rollout" happens in the ____ step of the new-product development process.

Regarding new-product development, market tests:

____ refers to a commitment to constantly make things better one step at a time.

Which of the following is true of product liability?

According to your text, which of the following is an example of a "new product"?

Seeking to stop declining sales for an established mouthwash, a sales manager suggests that new coloring be added to the product and a major promotion effort be started for the "new" product. The Federal Trade Commission would:

The last step in the new-product development process is:

Marketing39s 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

Promotion - Introduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Economics Fundamentals

Marketing Arithmetic

Filters

Exam 9: Product Management and New-Product Development

When introducing a really new product, the marketer should be concerned about building channels of distribution, but not about promotion.

Gradual "rollouts" are characteristic of which step of the new-product development process?

Firms should try to develop marketing mixes that make the most of the market growth stage of the product life cycle--when profits are highest.

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

Which statement is TRUE about products in the sales decline stage of the product life cycle?

In the idea evaluation stage

Which of the following is a common cause of new product failures?

Wujin Chu, marketing manager for Innovative Electronics Products, reviews a S.W.O.T. analysis to help him evaluate four new product ideas his company is currently considering. Chu is operating in the ____ step of the new-product development process.

In the MARKET GROWTH stage of the product life cycle:

The Consumer Product Safety Commission can:

In the idea generation stage of the new-product development process

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

A "rollout" happens in the ____ step of the new-product development process.

Regarding new-product development, market tests:

____ refers to a commitment to constantly make things better one step at a time.

Which of the following is true of product liability?

According to your text, which of the following is an example of a "new product"?

Seeking to stop declining sales for an established mouthwash, a sales manager suggests that new coloring be added to the product and a major promotion effort be started for the "new" product. The Federal Trade Commission would:

The last step in the new-product development process is:

Marketing39s 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

Promotion - Introduction to Integrated Marketing Communications

Personal Selling and Customer Service

Advertising, Publicity, and Sales Promotion

Pricing Objectives and Policies

Price Setting in the Business World

Ethical Marketing in a Consumer-Oriented World: Appraisal and Challenges

Economics Fundamentals

Marketing Arithmetic

Filters