Question 1

A failure fee is a penalty payment

Accepted Answer

A) a retailer assesses a manufacturer to handle defective new products that customers returned. 
B) a wholesaler makes to a retailer as compensation for sales not made while the product was on the shelf. 
C) a retailer makes to a manufacturer for stockouts-not keeping point-of-purchase displays continuously stocked with the new product. 
D) a manufacturer makes to a wholesaler as compensation for case-lot sales not made to retailers. 
E) a manufacturer makes to compensate a retailer for devoting valuable shelf space to a product that fails to sell.

Question 2

To help consumers assess and compare services,marketers try to make them tangible or __________.

Accepted Answer

A) temporal 
B) consistent 
C) adaptable 
D) measurable 
E) show the benefits of using the service

Question 3

Which of the following methods is commonly used in software development to speed up the development process?

Accepted Answer

A) expedited time to market 
B) fast prototyping 
C) parallel development 
D) controlled test marketing 
E) concept testing

Question 4

Ideally,before a new product is developed,a firm should have a precise protocol,which is a statement that identifies: (1)a well-defined target market; (2)specific customers' needs,wants,and preferences; and (3)__________.

Accepted Answer

A) what the product will be and do to satisfy consumers 
B) a clear plan for product distribution 
C) clear financial goals and expectations 
D) an analysis of potential competitors' products 
E) a precise budget of how much can be spent for the marketing program

Question 5

Installations are support products that include items such as

Accepted Answer

A) copy paper,mechanical pencils,and light bulbs. 
B) welding masks and computers. 
C) warehouses and automated assembly lines. 
D) lumber and engine parts. 
E) janitorial and legal services.

Question 6

In terms of promotion,which of the following type of consumer product stresses product differentiation from competitors?

Accepted Answer

A) shopping product 
B) convenience product 
C) specialty product 
D) unsought product 
E) discretionary product

Question 7

Many restaurants now ask consumers to evaluate their experience on a short questionnaire when they pay their bill.This assessment of consumer expectations and the actual experience they had is called a __________.

Accepted Answer

A) gap analysis 
B) service encounter survey 
C) customer profile analysis 
D) customer contact audit 
E) service audit

Question 8

As a dimension of service quality,the caring,individualized attention provided to customers as a dimension of service quality is referred to as __________.

Accepted Answer

A) reliability 
B) responsiveness 
C) competence 
D) assurance 
E) empathy

Question 9

Which of the following is the best example of a convenience product?

Accepted Answer

A) Kindle Fire 
B) Lexus LS 460 luxury automobile 
C) flight on United Airlines 
D) Roget's Thesaurus 
E) Crest toothpaste

Question 10

The type of business products known as support products includes installations,accessory equipment,supplies,and __________.

Accepted Answer

A) industrial services 
B) components 
C) materials 
D) derived products 
E) complementary products

Question 11

Commercialization refers to

Accepted Answer

A) the point at which a new product has diffused throughout the marketplace. 
B) the introduction of an offering to sequential geographic areas of the U.S. 
C) exposing actual products to prospective consumers under realistic purchase conditions. 
D) the stage of the new-product process that positions and launches a new product in full-scale production and sales. 
E) the point where new-product concepts are transformed into prototypes.

Question 12

At the time of its introduction,which of the following products was the best example of a continuous innovation?

Accepted Answer

A) the Apple iPhone 
B) the first video game system (Atari) 
C) Sunsilk Silky Straight shampoo and conditioner with tip-targeting technology 
D) Via Voice Gold voice-recognition software 
E) Naturalpoint Trakir,which replaces the computer mouse by tracking head movements and then translating those head movements into cursor commands

Question 13

A __________ is the marketing term for a good,service,or idea consisting of a bundle of tangible and intangible attributes that satisfy consumers' needs and is received in exchange for money or something else of value.

Accepted Answer

A) idea 
B) service 
C) widget 
D) utility bundle 
E) product

Question 14

The Vermont Teddy Bear Company sells handmade Teddy bears designed to be given as gifts for almost every occasion imaginable.The Love Bandit Bear is one bear it designed for people to give to each other on Valentine's Day.The Love Bandit Bear is an example of a

Accepted Answer

A) product item. 
B) product mix. 
C) product class. 
D) product form. 
E) product line.

Question 15

Intangible items such as airline trips,financial advice,or telephone calls that an organization provides to consumers are referred to as

Accepted Answer

A) production goods. 
B) support products. 
C) services. 
D) goods. 
E) benefits.

Question 16

Development refers to the stage of the new-product process

Accepted Answer

A) where initial ideas are generated and discussed. 
B) that turns an idea on paper into a prototype. 
C) where product characteristics and product benefits are selected. 
D) where cross-functional team members and leaders are selected and initial tasks are assigned. 
E) where the first version of a product enters the marketplace.

Question 17

The stage of the new-product process that positions and launches a new product in full-scale production and sales refers to __________.

Accepted Answer

A) marketing program execution 
B) disbursement 
C) launch 
D) commercialization 
E) final distribution

Question 18

LG Electronics Inc.has entered into an agreement with Google to offer selected models of its smartphones that use a multitouch interface installed on them rather than buttons to make calls with Google's Android operating system.This is an example of which type of innovation?

Accepted Answer

A) continuous innovation. 
B) dynamically continuous innovation. 
C) discontinuous innovation. 
D) disruptive innovation. 
E) evolutionary innovation.

Question 19

Equipment-based services do not have the marketing concern of inconsistency because __________ has (have)been removed from the delivery of the service.

Accepted Answer

A) risk and product liability 
B) people 
C) learning requirements 
D) automations 
E) accessories

Question 20

A product mix refers to

Accepted Answer

A) all of the different product lines offered by an organization. 
B) the variations within a product class. 
C) a specific product SKU that has a unique brand,size,or price. 
D) a group of products that are closely related because they satisfy a class of needs,are used together,are sold to the same customer group,are distributed through the same types of outlets,or fall within a given price range. 
E) the entire product category or industry.

Exam 9: Developing New Products and Services