Exam 10: Developing and Managing Products

For a firm that adheres to the marketing concept,the logical place to start generating new-product ideas is with the customers of the firm.

SCENARIOS Jabra Corporation After years of development and testing,Jabra Corporation of San Diego,California,unveiled the Jabra 1000 ear-bud phone.The entire device fits in your ear.It resembles those tiny in-ear speakers that let you listen to a Walkman in private--except that Jabra's unit is a transmitter as well.It picks up your voice by amplifying sound vibrations in your bones.Therefore,there's no microphone boom to jut out in front of your face.Because the bone vibrations must be amplified,a special chip in the part of the system that connects to the base of your phone uses noise-cancellation technology to screen out background sounds.This anti-noise chip generates a mirror image of outside noises,and the colliding sound waves erase each other.The main electronics package--about the size of a deck of cards--also monitors the quality of the phone line and automatically raises the volume of voice transmissions when the connection is weak.This tech-talk isn't cheap: the ear-bud phone lists for $329. -Refer to Music Industry.The scenario outlines the stages of development of the market for phonograph albums.What is the name for this group of stages?

What is the most important factor in a successful new-product introduction? What are three reasons why products fail? Identify five characteristics of firms have that typically experience success in new-product introductions.

Seven employees at the Ferguson Fabricators 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.

When Forrest Event Marketing,Inc.started searching for new product ideas,a marketing consultant suggested a variety of sources of information.Which is the LEAST likely source of new product ideas?

Which of the following has been found to be an efficient substitute for traditional methods of conducting test markets?

The rate of sales decline during the decline stage of the product life cycle is largely governed by:

In the _____ stage of new-product development,the technical feasibility of manufacturing the new product is examined as a prototype is produced.

SCENARIOS Jabra Corporation After years of development and testing,Jabra Corporation of San Diego,California,unveiled the Jabra 1000 ear-bud phone.The entire device fits in your ear.It resembles those tiny in-ear speakers that let you listen to a Walkman in private--except that Jabra's unit is a transmitter as well.It picks up your voice by amplifying sound vibrations in your bones.Therefore,there's no microphone boom to jut out in front of your face.Because the bone vibrations must be amplified,a special chip in the part of the system that connects to the base of your phone uses noise-cancellation technology to screen out background sounds.This anti-noise chip generates a mirror image of outside noises,and the colliding sound waves erase each other.The main electronics package--about the size of a deck of cards--also monitors the quality of the phone line and automatically raises the volume of voice transmissions when the connection is weak.This tech-talk isn't cheap: the ear-bud phone lists for $329. -Refer to Jabra Corporation.The Jabra 1000 is superior to existing hands-free telephones,especially with its small size and single part.However,consumers may think its advantages over current hands-free phones may not be worth the additional cost.Thus,the _____ of the new product may affect adoption.

Parris Laboratories has ordered production materials and equipment needed to make its new slow-release chlorine emulsion for swimming pools in its Rossville plant.Parris Laboratories is entering the _____ stage of new product development.

There are five categories of adopters that participate in the diffusion process.Name and briefly describe each of these five categories in the correct order from earliest adopter to last adopter.

Marketers consider all of the following examples of new products EXCEPT:

The phase of the product life cycle in which healthy profits usually begin to appear is the _____ stage.

A company that manufactures mantels,stairways,doors,windows,and other architectural reproductions brought together a group of ten recent customers and asked them to discuss what they liked and disliked about the current designs marketed by the company.Which of the following research techniques did the manufacturer use?

Basically,all that happens in the development stage of the new-product process is that the first prototype of the product gets developed.

Which of the following products has the lowest level of trialability?

_____ embrace products relatively early in the product life cycle,are likely to be community oriented,and often are opinion leaders themselves.

SCENARIOS Jabra Corporation After years of development and testing,Jabra Corporation of San Diego,California,unveiled the Jabra 1000 ear-bud phone.The entire device fits in your ear.It resembles those tiny in-ear speakers that let you listen to a Walkman in private--except that Jabra's unit is a transmitter as well.It picks up your voice by amplifying sound vibrations in your bones.Therefore,there's no microphone boom to jut out in front of your face.Because the bone vibrations must be amplified,a special chip in the part of the system that connects to the base of your phone uses noise-cancellation technology to screen out background sounds.This anti-noise chip generates a mirror image of outside noises,and the colliding sound waves erase each other.The main electronics package--about the size of a deck of cards--also monitors the quality of the phone line and automatically raises the volume of voice transmissions when the connection is weak.This tech-talk isn't cheap: the ear-bud phone lists for $329. -Refer to Jabra Corporation.When the first Jabra 1000 was sold,the initial sale signaled the start of the _____ stage of the product life cycle.

_____ evaluate new product ideas usually before any prototype has been created.

Market researchers have determined nine categories of lifestyles for computer users.One of the categories is described as "Mouse Potatoes," who like the Internet for entertainment and can't wait to buy the latest in "technoentertainment." In terms of the diffusion process,"Mouse Potatoes" would be classified as: