• Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off
Reading...
Front

Card Range To Study

through

image

Play button

image

Play button

image

Progress

1/49

Click to flip

Use LEFT and RIGHT arrow keys to navigate between flashcards;

Use UP and DOWN arrow keys to flip the card;

H to show hint;

A reads text to speech;

49 Cards in this Set

  • Front
  • Back

Chapter 11 Opening Story

Google

Product Mix

All of the product lines a company offers

Product planning

outlines the focus given to a core businesses, market development, product development, and diversification

Core business focus

Marketing of existing products in existing market segments




example is Nikon

Market development

Existing products are offered to new segments




example is INC

Product development

Companies make new products for existing market segments




example is pizza hut

Line extension

new product closely related to others in the line




example is Dr. Pepper

Diversification

when new products are introduced into new market segments




example is Nintendo, iphone, ipad

continuous innovation

minor change to a familiar product




example is Adobe

Dynamically continuous

familiar product with additional features and benefits that require users to alter some aspect of their behavior.




example is ABS

Discontinuous innovation

Entire new product with new functions




example is laptops

Relative advantage, compatibility, complexity, trialability, and observability

Factors influencing consumer acceptance of new product s(5)

relative advantage

amount of perceived superiority the new product has in comparison to existing ones




example is Apple

compatibility

how easily does it fit into the consumers current thinking or system

Trialability

ease which potential users can test a new product at little or not cost

Observability

a consumer can obtain full appreciation for a products features by watching someone else use it




example is apple headphones

Idea generation

gathering of suggestions for new products from a number of sources using a range of formal and informal methods

Technology analysis

forecasts the speed and applicability of advances

idea screening

identifying the new product ideas that have the most potential to succeed

product concept

a detailed version of the product idea stated in written descriptions, pictures and specifications

concept testing

testing a new product concept with target consumers, distributors, and retailers who provide input regarding the products potential

marketing strategy development

creating an initial marketing strategy for a new product based on the product concept

Business Analysis

Assessment of the attractiveness of the product from a sales, cost, profit, and cash flow standpoint

Prototype

Working model of the product

Test market

small geographical area with characteristics similar to the total market

Controlled test market

uses consumer panels or other technique to attempt to gain the same type of info from real test markets. This is usually less expensive

Simulated product test

experiment in artificial conditions

Commercialization

introduces the product to the market

Simultaneous new product development

when people from a number of functional areas work together

Sequential new product development

when passing responsibility from one function to the next

Downsizing

Several product lines are brought under a single management team or product offerings are reduced to those that generate strong and increasing revenues



De-layering

The number of personnel and positions between top executives and those who manage market activities is reduced

Product manager

oversees one or several products targeted at all market segments

market manager

responsible for one or several similar product lines targeted at defined market areas.

New product development

Organizational unity responsible for identifying product ideas and preparing them for commercialization.

New product committee

key functional personnel who are brought together from time to time to develop new products

venture team

A group formed for a set period to accomplish a set objective. Select people from various areas of the company

Adoption process definition

the steps an individual consumer goes through in making a product choice

Diffusion process

the spread of innovations from one group of consumers to another over time

Speed and responsiveness

What is essential in gaining a competitive edge?

Idea generation


Idea screening


concept development


market strategy development


business analysis


prototype product development


test marketing


commercialization

8 steps new product development process

Timely


Sacrifice surprises


Impractical for some products


Expensive

Drawback to test markets (4)

Downsizing


De-layering


fewer functional silos

3 Organizational Trends

Intro


growth


maturity


decline

Product life cycle stages

sell new market segments


stimulate more frequent use


Encourage use per occasion


promote more varied use

Common ways to extend product life cycle(4)

Knowledge


persuasion


decision


implementation


confirmation

Adoption process steps

innovators


Early adopters


early majority


late adopters


laggards

Consumer types (5)

product development

What stage is prototype built in?

Maturity

In what stage of the product life cycle is the marketing objective to hold market share profitability?