Exam 20: Introducing New Market Offerings

________ calls for developing a master chart showing the simultaneous and sequential activities that must take place to launch the product.By estimating how much time each activity takes,the planners estimate completion time for the entire project.

__________ is(are)a cross-functional group charged with developing a specific product or business.

New products fail at a disturbing rate.In the United States,the failure rate is potentially as high as 95%.New products fail for many reasons.List three of the reasons why new products fail.

Companies handle the organizational aspect of new-product development in several ways.Some companies use product managers,others use new-product managers,and others use different techniques.List two additional organizational methods .

Companies use financial measures to evaluate the merit of a new-product proposal.The simplest to use is called ________ ,in which management estimates how many units of the product the company would have to sell to break even with the given price and cost structure.

Several factors hinder new-product development,including ________.

The ________ method of measuring customer preferences presents pairs of items and asks the consumer which one is preferred in each pair.

"Our product is a powdered mixture that is added to milk to make an instant breakfast that gives the person all the needed nutrition along with good taste and high convenience.The product would be offered in three flavors and would come in individual packets,six to a box,at $2.49 a box." This is an example of ________.

Mountain bikes developed as a result of youngsters taking their bikes up to the top of a mountain and riding down.When the bikes broke,the youngsters began building more durable bikes and adding things such as motorcycle brakes,improved suspension,and accessories.These youngsters would be considered ________.

The amount of market testing may be severely reduced if the company is under great time pressure because the season is just starting or because competitors are about to launch competitive brands.

Your search for tires for your car has identified hundreds of choices.Included in these choices were some brand names that you were unaware of or whose brand you have never heard of before but that contained some innovative features.In the adoption process,what would your next step be?

After management develops the product concept and marketing strategy,it can evaluate the proposal's business attractiveness.Management needs to prepare sales,costs,and profit potentials.The first step is to estimate total sales.Describe what is included in estimating total sales.

New-product development can be hindered by several factors.List three of the factors hindering new-product development.

Companies that fail to develop new products are putting themselves at risk.Explain why this is true.

Not all companies undertake market testing.What factors influence the amount of market testing a product receives?

Differentiate between incremental innovation and the creation of disruptive technologies.What kind of companies focus on each and what impact does each have on the marketplace?

Increasingly,new-product ideas arise from ________ that combines two product concepts or ideas to create a new offering,such as cereal bars,which combine cereal and snacking.

In commercializing a new product,market-entry timing is critical.Suppose your company has completed its development work on its new pet food feeder product but learns that a competitor is close to launching a competitive product.What three choices does the company face?

The financial analysis for your new product shows that for the fist year you must sell 100,000 units at an average selling price of $10.00 in order to cover the costs of introduction,marketing,and development.The financial process used to arrive at these numbers is called ________.

The number-one success factor for new products is ________.