1) What are the two ways that a company can obtain new products?

1) What are the two ways that a company can obtain new products?

A) line extension and brand management

B) internal development and brand management

C) new-product development and acquisition

D) service development and product extension

E) market mix modification and research and development

2) Product improvements, product modifications, and original products can all be classified as ________.

A) pioneer products

B) new products

C) product concepts

D) product ideas

E) test products

3) Which of the following is NOT a potential reason for a new product to fail?

A) an underestimated market size

B) a poorly designed product

C) an incorrectly positioned product

D) higher than anticipated costs of product development

E) ineffective advertising

 

4) Which of the following is NOT a challenge presented by the product life cycle that a firm must face?

A) All products eventually decline.

B) Changing tastes, technologies, and competition affect the marketing of the product as it passes through lifecycle stages.

C) A firm must be good at developing new products to replace aging ones.

D) A firm must be good at adapting its marketing strategies.

E) It is difficult to plot the stages as a product goes through them.

5) The creation of a successful new product depends on a company’s understanding of its ________ and its ability to deliver ________ to customers.

A) competitors, distributors, and employees; new styles

B) customers, brands, products; product images

C) customers, competitors, and markets; superior value

D) product, marketing mix, and marketing strategy; functional features

E) product life cycle, legal responsibilities, and social responsibilities; innovations

6) A ________ is the way consumers perceive an actual or potential product.

A) product idea

B) product concept

C) product image

D) test market

E) concept test

7) An attractive idea must be developed into a ________.

A) product idea

B) product concept

C) product image

D) test market

E) product strategy

8) ________ calls for testing new-product concepts with groups of target consumers.

A) Concept development

B) Concept testing

C) Idea generation

D) Idea screening

E) Test marketing

9) In the concept testing stage of new-product development, a product concept in ________ form is presented to groups of target consumers.

A) physical or symbolic

B) prototype

C) final

D) market-tested

E) commercial

10) With what groups do firms conduct concept testing for new products?

A) suppliers

B) employees

C) target customers

D) manufacturers

E) competitors

11) Following the decision to “time” the introduction of the new product, a company must decide ________ to launch the new product.

A) where

B) how

C) to what degree

D) why

E) all of the above

12) Which of the following is necessary for successful new-product development?

A) a holistic and sequential product development approach

B) a customer-centered, team-based, systematic approach

C) a team-based, innovation-management approach

D) a market pioneer mindset and a holistic approach

E) an innovation management system and sequential product development

13) Which stage of the new-product development process focuses on finding new ways to solve customer problems and create more customer-satisfying experiences?

A) concept testing

B) new-product development

C) customer-centered new-product development

D) sequential product development

E) team-based new-product development

14) ________ is a new-product development approach in which one company department works to complete its stage of the process before passing the new product along to the next department and stage.

A) Team-based product development

B) Simultaneous product development

C) Sequential product development

D) Product life-cycle analysis

E) Micromarketing

15) In order to get their new products to market more quickly, many companies are adopting a faster, team-oriented approach called ________.

A) simulated new-product development

B) sequential product development

C) team-based new-product development

D) phased-in new-product development

E) market development

16) Which stage of the typical consumer product life cycle is out of order below?

A) product development

B) introduction

C) maturity

D) growth

E) decline

17) Which of the following CANNOT be described using the PLC concept?

A) product class

B) product form

C) product image

D) brand

E) styles

18) All of the following are accurate descriptions of a style product, EXCEPT which one?

A) Style products appear in home, clothing, and art.

B) Once a style is invented, it may last for generations.

C) A style has a cycle showing several periods of renewed interest.

D) Styles last only a short time and tend to attract only a limited following.

E) Styles are basic and distinctive modes of expression.

19) The PLC concept can be applied by marketers as a useful framework for describing how ________.

A) to forecast product performance

B) to develop marketing strategies

C) products and markets work

D) concept testing is conducted

E) product ideas are developed

20) Using the PLC concept to develop marketing strategy can be difficult because strategy is both a ________ and a(n) ________ of the product’s life cycle.

A) mirror image; cause

B) cause; result

C) result; mirror image

D) beginning; end

E) purpose; effect

21) Manufacturers must comply with specific laws regarding ________.

A) price structures

B) product quality and safety

C) product placement

D) distribution channels

E) product life cycles

22) Because of ________, a company cannot make its product illegally similar to a competitor’s already established product.

A) anti-monopoly laws

B) patent laws

C) the Consumer Product Safety Act

D) product warranties

E) product liability

23) Which of the following best describes the role of a product steward?

A) to protect consumers from harm

B) to evaluate new-product ideas against a set of general criteria

C) to develop a new-product concept into a physical product

D) to protect the company from liability by identifying and solving potential product problems

E) A and D

24) The advantages of standardizing an international product include all of the following EXCEPT ________.

A) the development of a consistent image

B) lower product design costs

C) the adaptation of products to different markets

D) decreased manufacturing costs

E) lower marketing costs

25) Because names, labels, and colors may not easily translate from one country to another, international marketers must carefully assess ________.

A) product standardization

B) market rollout

C) the product life cycle

D) packaging

E) styles

26) Blair Housewares wants to add new lines of products to its 46-store chain. Managers are correct in believing that the purpose of idea generation is to create a few ideas, and the purpose of succeeding stages is to increase that number.

27) A product idea is an idea for a possible product a company can offer the market, while a product concept is a detailed version of the idea stated in meaningful consumer terms.

28) Concept testing works best with people who are familiar with the new idea and the new product’s purpose. This generally includes top management, the sales force, and research and development.

29) GreenTree Lawn and Garden Products is engaged in marketing strategy development. Management should first create a statement outlining the product’s planned price, distribution, and marketing budget for the first year.

30) GreenTree Lawn and Garden Products is engaged in a review of the sales, costs, and profit projections for some new products to find out whether they satisfy the company’s objectives. This activity is called business product development.