Question 1

Which of the following statements BEST describes the main purpose of test marketing?

Accepted Answer

A)  To test concept drawings or working models before a focus group of target customers. 
B)  To test marketing is to test the product itself in real market situations. 
C)  To test a prototype of the product under laboratory conditions. 
D)  To allow a select group of target customers to work with pre- release products for use in actual use situations. 
E)  none of the above 
A)  To test concept drawings or working models before a focus group of target customers. 
B)  To test marketing is to test the product itself in real market situations. 
C)  To test a prototype of the product under laboratory conditions. 
D)  To allow a select group of target customers to work with pre- release products for use in actual use situations. 
E)  none of the above

Question 2

The stages a consumer passes through when adopting a product are described by the:

Accepted Answer

A)  product awareness. 
B)  iroduct life stage. 
C)  product history. 
D)  product adoption. 
E)  product life cycle. 
A)  product awareness. 
B)  iroduct life stage. 
C)  product history. 
D)  product adoption. 
E)  product life cycle.

Question 3

With a product concept, a product idea is transformed into a mental picture in the minds of the product's potential consumers.

Accepted Answer

A) True 
 B)False

Question 4

Gary is involved in a new product development process and produces a report which contains a statement of the target market; the planned value proposition and a set of sales, profit and market share goals for the first 10 years following commercialisation. Gary is involved in which stage of the new product development process?

Accepted Answer

A)  concept development 
B)  business analysis 
C)  product development 
D)  market strategy development 
E)  test marketing 
A)  concept development 
B)  business analysis 
C)  product development 
D)  market strategy development 
E)  test marketing

Question 5

During the growth stage of the PLC, the strategic focus should be on defending market share.

Accepted Answer

A) True 
 B)False

Question 6

The step that follows concept testing in the new product development process is:

Accepted Answer

A)  test marketing. 
B)  concept testing. 
C)  creating a prototype. 
D)  business analysis. 
E)  commercialisation. 
A)  test marketing. 
B)  concept testing. 
C)  creating a prototype. 
D)  business analysis. 
E)  commercialisation.

Question 7

Controlled test markets allow products and marketing plans to be closely monitored, but may not be representative of national markets.

Accepted Answer

A) True 
 B)False

Question 8

Under what conditions would a marketer consider forgoing the test marketing stage of the new product development process?

Accepted Answer

A)  when the new product involves only minor modifications 
B)  when management are confident that the new product will be successful 
C)  when the costs of research and development are relatively low 
D)  all of the above 
E)  None of the above-all new products should be test marketed. 
A)  when the new product involves only minor modifications 
B)  when management are confident that the new product will be successful 
C)  when the costs of research and development are relatively low 
D)  all of the above 
E)  None of the above-all new products should be test marketed.

Question 9

When it comes to new product development, there are degrees of newness. Which of the following is NOT a new product?

Accepted Answer

A)  product improvements 
B)  product line extensions 
C)  new category 
D)  new inventions 
E)  All of the above are considered new products. 
A)  product improvements 
B)  product line extensions 
C)  new category 
D)  new inventions 
E)  All of the above are considered new products.

Question 10

Assessing a new product concept with groups of target customers is known as:

Accepted Answer

A)  product trial. 
B)  prototype testing. 
C)  concept testing. 
D)  market testing. 
E)  concept development. 
A)  product trial. 
B)  prototype testing. 
C)  concept testing. 
D)  market testing. 
E)  concept development.

Question 11

During a product's life cycle, the first time a company experiences a significant increase in sales is known as:

Accepted Answer

A)  introduction. 
B)  growth. 
C)  maturity. 
D)  decline. 
E)  demise. 
A)  introduction. 
B)  growth. 
C)  maturity. 
D)  decline. 
E)  demise.

Question 12

The new product development process starts with idea screening.

Accepted Answer

A) True 
 B)False

Question 13

Of the five adopter groups, the laggards are the most cautious.

Accepted Answer

A) True 
 B)False

Question 14

Which of the stages in the new product development process is the most expensive?

Accepted Answer

A)  idea generation and screening 
B)  business analysis 
C)  concept development 
D)  commercialisation 
E)  product development 
A)  idea generation and screening 
B)  business analysis 
C)  concept development 
D)  commercialisation 
E)  product development

Question 15

The stage of the product life cycle where sales and profits are likely to be the lowest is known as:

Accepted Answer

A)  introduction. 
B)  growth. 
C)  maturity. 
D)  decline. 
E)  demise. 
A)  introduction. 
B)  growth. 
C)  maturity. 
D)  decline. 
E)  demise.

Question 16

Market rollout is part of the marketing strategy stage of the new product development process.

Accepted Answer

A) True 
 B)False

Question 17

Buyers can be categorised according to their tendency to adopt new products. Which of the following is NOT one of the adopter groups?

Accepted Answer

A)  laggards 
B)  non- adopters 
C)  early adopters 
D)  innovators 
E)  early Majority 
A)  laggards 
B)  non- adopters 
C)  early adopters 
D)  innovators 
E)  early Majority

Question 18

The group of buyers that accounts for about 2.5 per cent of all adopters and is first to adopt a new product is known as:

Accepted Answer

A)  innovators. 
B)  early adopters. 
C)  laggards. 
D)  early majority. 
E)  late majority. 
A)  innovators. 
B)  early adopters. 
C)  laggards. 
D)  early majority. 
E)  late majority.

Question 19

Should a firm automatically drop a product that appears to be in its decline stage? Justify your position.

Accepted Answer

No, the drop decision should not be auto

Question 20

The stage of the product adoption process in which consumers seek out more information about a new product is known as:

Accepted Answer

A)  awareness. 
B)  interest. 
C)  evaluation. 
D)  trial. 
E)  adoption. 
A)  awareness. 
B)  interest. 
C)  evaluation. 
D)  trial. 
E)  adoption.

Which of the following statements BEST describes the main purpose of test marketing?

The stages a consumer passes through when adopting a product are described by the:

With a product concept, a product idea is transformed into a mental picture in the minds of the product's potential consumers.

During the growth stage of the PLC, the strategic focus should be on defending market share.

The step that follows concept testing in the new product development process is:

Controlled test markets allow products and marketing plans to be closely monitored, but may not be representative of national markets.

Under what conditions would a marketer consider forgoing the test marketing stage of the new product development process?

When it comes to new product development, there are degrees of newness. Which of the following is NOT a new product?

Assessing a new product concept with groups of target customers is known as:

During a product's life cycle, the first time a company experiences a significant increase in sales is known as:

The new product development process starts with idea screening.

Of the five adopter groups, the laggards are the most cautious.

Which of the stages in the new product development process is the most expensive?

The stage of the product life cycle where sales and profits are likely to be the lowest is known as:

Market rollout is part of the marketing strategy stage of the new product development process.

Buyers can be categorised according to their tendency to adopt new products. Which of the following is NOT one of the adopter groups?

The group of buyers that accounts for about 2.5 per cent of all adopters and is first to adopt a new product is known as:

Should a firm automatically drop a product that appears to be in its decline stage? Justify your position.

The stage of the product adoption process in which consumers seek out more information about a new product is known as:

Marketing: Creating Superior Customer Value

Marketing: Delivering and Capturing Value

Strategic Planning and Marketing

Marketing Strategies for Competitive Advantage

The Global Marketing Environment

Information Management and Marketing Research

Consumer Behaviour

Business-To-Business Behaviour

Market Segmentation, Targeting and Positioning

Products and Services Marketing

Pricing for Value

Marketing Channels and Logistics Networks

Retailing and Wholesaling

Advertising and Public Relations

Sales Promotion and Selling

Direct and Online Marketing

Tapping Into Markets Across the Globe

Responsible Marketing

Filters

Exam 11: New Products

Which of the following statements BEST describes the main purpose of test marketing?

The stages a consumer passes through when adopting a product are described by the:

With a product concept, a product idea is transformed into a mental picture in the minds of the product's potential consumers.

During the growth stage of the PLC, the strategic focus should be on defending market share.

The step that follows concept testing in the new product development process is:

Controlled test markets allow products and marketing plans to be closely monitored, but may not be representative of national markets.

Under what conditions would a marketer consider forgoing the test marketing stage of the new product development process?

When it comes to new product development, there are degrees of newness. Which of the following is NOT a new product?

Assessing a new product concept with groups of target customers is known as:

During a product's life cycle, the first time a company experiences a significant increase in sales is known as:

The new product development process starts with idea screening.

Of the five adopter groups, the laggards are the most cautious.

Which of the stages in the new product development process is the most expensive?

The stage of the product life cycle where sales and profits are likely to be the lowest is known as:

Market rollout is part of the marketing strategy stage of the new product development process.

Buyers can be categorised according to their tendency to adopt new products. Which of the following is NOT one of the adopter groups?

The group of buyers that accounts for about 2.5 per cent of all adopters and is first to adopt a new product is known as:

Should a firm automatically drop a product that appears to be in its decline stage? Justify your position.

The stage of the product adoption process in which consumers seek out more information about a new product is known as:

Marketing: Creating Superior Customer Value

Marketing: Delivering and Capturing Value

Strategic Planning and Marketing

Marketing Strategies for Competitive Advantage

The Global Marketing Environment

Information Management and Marketing Research

Consumer Behaviour

Business-To-Business Behaviour

Market Segmentation, Targeting and Positioning

Products and Services Marketing

Pricing for Value

Marketing Channels and Logistics Networks

Retailing and Wholesaling

Advertising and Public Relations

Sales Promotion and Selling

Direct and Online Marketing

Tapping Into Markets Across the Globe

Responsible Marketing

Filters