New Products Management Final

Front 1

Most product development projects use some form of:

Back 1

concurrent system.

Front 2

The ___________________ keeps the product development team together--and focused.

Back 2

product protocol

Front 3

End-user benefit is primarily provided by the:

Back 3

core product.

Front 4

The physical form of the product--or the service sequence--is described as the:

Back 4

formal product.

Front 5

The full complement of pre- and post-sale services that accompany/support a product is termed the:

Back 5

augmented product

Front 6

The FIRST general purpose of the product protocol is:

Back 6

specification of each department's contribution to the final product.

Front 7

The SECONDARY purpose of the protocol statement is to:

Back 7

-communicate essentials to all players.

-support integrated actions.

-guide actions consistently with the full screen test and financials.

-provide targets for all players.

Front 8

The primary time concern of the product protocol is in regard to:

Back 8

process or cycle time.

Front 9

It is imperative that product protocols state requirements in ______________ terms.

Back 9

measurable

Front 10

The product protocol will PRIMARILY focus on:

Back 10

the core product.

Front 11

"Betting" on an unproven technology is an example of:

Back 11

wildcatting.

Front 12

Product protocols should specify:

Back 12

-the primary target market.

-the secondary target market(s).

-at least one fall-back target market.

Front 13

Joint space mapping provides input for _______________ in the product protocol.

Back 13

product positioning

Front 14

Protocols for services are especially likely to:

Back 14

functions.

Front 15

Technical people are MOST likely to focus upon:

Back 15

features.

Front 16

Features are MOST likely to appear in protocols when:

Back 16

-they are required by regulations.

-end-user's existing equipment imposes limitations.

-established industry practice is entrenched.

-upper management has strong preferences.

Front 17

Competitive comparisons may be incorporated in a protocol through:

Back 17

-benchmarking.

-specification of a policy that must be matched.

-specification of required levels of differentiation.

Front 18

The product protocol is MOST likely to include the marketing factor(s) of:

Back 18

-target market(s)

-channels.

-price.

Front 19

The primary marketing benefit of employing OFD is:

Back 19

the strong focus on customer needs.

Front 20

The product protocol is:

Back 20

-complicated.

-fraught with politics.

-only an aid to--not a substitute for--thinking.

-strengthened if it is produced by a multifunctional new products team.

Front 21

_____________ is “the synthesis of technology and human needs into manufacturable products.”

Back 21

Design

Front 22

Design may be charged with:

Back 22

-speeding the product to market.

-easing the manufacturing process.

-differentiating the product.

-meeting customer needs.

Front 23

________________ refers to the design of products to be usable by anyone regardless of age or ability.

Back 23

Universal design

Front 24

All of the following are principles of design:

Back 24

-equitable use.

-flexibility in use.

-perceptible information.

-low physical effort.

Front 25

The purpose of _______________ is to help build/support public perception of the firm—and ultimately, its corporate identity.

Back 25

visual equity

Front 26

Concern for the environment has led to a focus upon:

Back 26

design and disassembly

Front 27

A good design is:

Back 27

-aesthetically pleasing.

-easy to make correctly.

-reliable.

-easy to use.

Front 28

Office furniture, tools, and heavy equipment are likely to emphasize design which emphasizes:

Back 28

ergonomics.

Front 29

The process by which a customer need is developed into a product design is called:

Back 29

product architecture.

Front 30

The ________________ shows the components and functional elements of the product and how they are interconnected.

Back 30

product schematic

Front 31

A “chunk” is perhaps getter described as a(n):

Back 31

module.

Front 32

The product is arranged in several configurations to identify the “best” solutions in the creation of:

Back 32

geometric layouts.

Front 33

_______________ products share existing platforms with modifications to better serve specific users.

Back 33

derivative

Front 34

Industrial designs should be evaluated on the basis of:

Back 34

-the quality of the user interface.

-emotional appeal.

-maintenance and repair.

-product differentiation.

Front 35

Product testing in real-usage situations requires:

Back 35

a comprehensive prototype.

Front 36

All of the following are direct participants in the design process except:

Back 36

marketing personnel.

Front 37

Placing individuals and functional areas in close proximity is an attempt to enhance integration, communication, and productivity through:

Back 37

colocation.

Front 38

Global business, the technical revolution, and fears of global terrorism has been addressed recently by:

Back 38

digital connectivity.

Front 39

The task of checking ease of assembly and manufacturing—and encouraging product simplification is primarily entrusted to:

Back 39

design-for-assembly.

Front 40

Stereolithography has contributed to the advent of:

Back 40

rapid prototyping.

Front 41

Which of the following organizational approaches tends to have the LEAST product focus?

Back 41

functional organization

Front 42

Innovation is LEAST likely to occur under a ______________ form of organization.

Back 42

functional

Front 43

Favoring a project is called:

Back 43

projectionization

Front 44

The ____________________ option works best for situations in which both functional and project views are critical to success.

Back 44

balanced matrix

Front 45

The _______________ option is staffed by people who are project-oriented more than functionally focused.

Back 45

project matrix

Front 46

The ultimate in projectization occurs under the _________________ option.

Back 46

venture

Front 47

A ___________________ maybe used to effect a "divorce" between the firm and the project development effort.

Back 47

spinout venture

Front 48

By nature, venture teams are:

Back 48

-risk-seeking and highly innovative.

-risky.

-hard to establish.

-hard to implement.

Front 49

The group leader enjoys the greatest amount of power in a _______________ organization.

Back 49

venture

Front 50

The venture group:

Back 50

-is highly autonomous.

-is totally focused on product innovation.

-specializes in high risk projects.

-deal sin projects that will be disruptive to "business as usual".

Front 51

If high-level technical expertise is required, a _______________ is required, a ___________ organization may be indicated.

Back 51

functional

Front 52

If speed-to-market is critical, the _______________ is usually preferable.

Back 52

project team

Front 53

The MOST important result of collaboration is:

Back 53

synergy.

Front 54

Which of the following denotes the firm's ULTIMATE willingness to trust an employees judgment and actions?

Back 54

empowerment

Front 55

The team member most like an entrepreneur is the:

Back 55

product champion.

Front 56

The following statement about champions IS NOT TRUE:

Back 56

Champions are associated with market successes.

Front 57

Networks consist of:

Back 57

-nodes.

-links.

-operating relationships.

Front 58

Interface management:

Back 58

-takes time, not unique skills.

-rewards managers with the interface they earn.

-requires the rapid removal of any participants who refuse to cooperate or who "sabotage" the project.

Front 59

Which of the following management styles relies upon collaboration to solve the problem via a solution all parties are committed to:

Back 59

confrontation.

Front 60

Which of the following is the most rare case?

Back 60

allowing the development team to launch the new product

Front 61

The first output of technical development is:

Back 61

a prototype.

Front 62

The task of testing end-user's experience with the new item is referred to as:

Back 62

-product use testing.

-field testing.

-user testing.

Front 63

Which of the following is often used as a synonym for market testing?

Back 63

-product use testing

-marketing acceptance testing

-field testing

-user testing

Front 64

In a truly market-oriented firm, the task of marketing is perceived as:

Back 64

information coordination.

Front 65

In ______________ testing, a physical prototype is tested by "real" consumers under normal operating conditions.

Back 65

use

Front 66

Which of the following is the most significant disadvantage associated with use testing?

Back 66

the risk that competitors may get to market first

Front 67

Food products tend to fail at a _____________ rate.

Back 67

80-90 percent

Front 68

Copying the product of another firm:

Back 68

-usually provides only small gains.

-encourages further imitation.

-typically fuels strong price competition.

-often includes copying the product's mistakes as well.

Front 69

End-use tests conducted in laboratories:

Back 69

-isolates users from mistakes.

-isolates users from competitive efforts to trash the product.

-understates the disruptive impact of change upon the family.

-allows the firm to learn from its errors.

Front 70

Use-testing provides one of very few opportunities to assess the suitability of/changes required to the:

Back 70

augmented product.

Front 71

Initial reactions are especially important for:

Back 71

services.

Front 72

Short-term use test, conducted at selected external customer sites, or ______________ tests, began in the computer industry and spread to other areas.

Back 72

Beta

Front 73

Which of the following types of testing produces the BEST product use test?

Back 73

Gamma testing

Front 74

Beta testing is likely to fail if:

Back 74

-its warnings are ignored.

-firms attempt to do it themselves.

-it is done too late in the process.

-measurable specifications are not used.

Front 75

The "user group" often includes:

Back 75

-lab personnel.

-experts.

-employees.

-stakeholders.

Front 76

ANY sample should be:

Back 76

-representative.

-accurate.

-reproducible.

Front 77

If competitive comparisons are required, the firm should employ:

Back 77

blind testthe desired innovativeness of the product.s.

Front 78

The testing of new medications is BEST accomplished under conditions of:

Back 78

total control.

Front 79

Which of the following types of testing is generally felt to be the "ideal" form of combination testing?

Back 79

sequential monadic tests.

Front 80

Ideally, products used for testing should come from:

Back 80

final production.

Front 81

The marketing department is most heavily involved in:

Back 81

tactical launch decisions.

Front 82

Strategic launch decisions include:

Back 82

-the strategic platform.

-the desired innovativeness of the product.

-positioning.

-the driver of new product development.

Front 83

The most expensive/risky part of the new product process is:

Back 83

commercialization.

Front 84

Strategic "givens":

Back 84

-are difficult/costly to change.

-influence tactical decisions.

-typically "come with" the project.

-largely define the types of resistance that must be overcome.

Front 85

Demand for the product category is called:

Back 85

primary demand.

Front 86

Appeals to encourage customer migration are intended to stimulate:

Back 86

replacement demand.

Front 87

Which of the following emphasizes efforts to take market share from competitive firms?

Back 87

replacement demand

Front 88

"Fads" are products that are:

Back 88

launched with the intent of remaining in the market for year--or less.

Front 89

Smaller firms may try to reduce the risks of alarming market leaders by adopting a strategy of:

Back 89

cautious entry.

Front 90

IDEALLY, the development/launch budgets for a new product would be considered a(n):

Back 90

investment.

Front 91

Most new products are:

Back 91

extensions/additions/replacements for existing products.

Front 92

Which of the following replacement strategies is most aggressive?

Back 92

butt-on replacement

Front 93

An aggressive competitor may seek to benefit from "comparative advertising" as part of a strategy of:

Back 93

aiming directly at a specified competitor.

Front 94

Markets may be segmented on the basis of:

Back 94

-end use.

-geographic/demographic.

-behavioral/psychographic.

-benefit.

Front 95

Firms may seek to reduce the risk of selecting a single target market by employing a(n) ________________ strategy.

Back 95

paralegal development

Front 96

Database marketers have been able to focus in specific market "niches" called ____________ with highly "tailored" offerings.

Back 96

micromarkets

Front 97

________________ is an attempt to merge the benefits of mass production with the uniqueness of tailored products.

Back 97

Masscustomization

Front 98

In _________________ product testing, customers can build the desired product, obtain a price estimate, and state their likelihood of making a purchase.

Back 98

virtual

Front 99

Consumers that are risk-takers, mobile, financially well-off, cosmopolitan, and highly sociable are likely to be:

Back 99

innovators/early adopters.

Front 100

A "good" brand name should be:

Back 100

-indicative/summarize product benefits.

-be unique--capable of registration.

-appreciable for use on later related additions to the line.

-short, easy to spell, pronounce, and remember.

Front 101

The launch cycle is an expansion of the introductory stage of the:

Back 101

product life cycle.

Front 102

The firm's capability to compete is established in the:

Back 102

prelaunch stage.

Front 103

Signaling efforts may include:

Back 103

-price.

-trade shows.

-salesforce comments.

-stocking calls.

Front 104

If a firm's product sales depends on sales of complimentary products it sells, a(n) ____________ is said to exist.

Back 104

indirect network externalities.

Front 105

________________ network externalities exist if product sales depend on the number of people that have adopted it.

Back 105

Direct

Front 106

Software producers often "pitch" innovative new products called ________________ long before introduction--perhaps completion.

Back 106

vaporware

Front 107

In the product launch, heavy expenditures are undertaken to overcome sales inertia by establishing a(n):

Back 107

beachhead.

Front 108

The key decision to be made in the beachhead stage is:

Back 108

when to end it.

Front 109

High(skimming) prices are characteristic of:

Back 109

innovative new products.

Front 110

Barriers to entry are a characteristic ploy used in the introduction of:

Back 110

offensive improvements.

Front 111

Increased penetration of existing markets is a primary goal for:

Back 111

defensive additions.

Front 112

A separate communications mix may be required for:

Back 112

-resellers.

-the end-user from resellers.

-end-users.

-end-users from the firm/reseller team.

Front 113

The copy strategy statement should include:

Back 113

-the targeted market/segment.

-the product positioning statement.

-the communication mix involved.

-the major copy points to be communicated.

Front 114

For which of the following is the sales department typically most important?

Back 114

new product development.

Front 115

The practice of buying a competitor's goods from resellers in order to face-up space for those resellers to stock our product is called:

Back 115

stocklifting.

Front 116

"Trial" may be:

Back 116

-personal.

-vicarious.

-virtual.

Front 117

Which of the following barriers to trial is MOST difficult to overcome?

Back 117

low relative advantage

Front 118

Which of the following types of pricing is most difficult to justify/maintain?

Back 118

variable

Front 119

Which of the following might be used to "buy" market share and/or discourage competitor entry?

Back 119

penetration pricing

Front 120

Which of the following pricing approaches offers the best of all worlds for most innovations?

Back 120

skimming

Front 121

Which of the following tools of market testing is least likely to be used today?

Back 121

test marketing

Front 122

Market testing provides "solid":

Back 122

-forecasts of dollar sales.

-forecasts of unit volume.

-diagnostic information.

Front 123

The following statement about market testing IS NOT TRUE:

Back 123

the forecast/predictions provided are absolutely accurate

Front 124

Market testing may be skipped if:

Back 124

-capital investments are small and forecasts are conservative.

-use tests went well-consumer interest is high.

-firm is experienced/successful in the business.

-advertising has been successfully tested and does not require perfect execution.

Front 125

Market test costs include:

Back 125

-direct testing costs.

-costs of the launch itself.

-lost revenue from delaying launch.

Front 126

Which of the following involves the least consumer pain?

Back 126

pseudo sale

Front 127

In the ________________ approach, the buyer must make a purchase under controlled conditions since the product has not been released for regular sale.

Back 127

controlled sale

Front 128

The following IS NOT AN example of controlled sale techniques:

Back 128

simulated test marketing.

Front 129

The speculative sales method is useful when:

Back 129

-industrial firms have close relationships with key buyers.

-the product is technical and produced by a competent firm needing only minor market input.

-the venture carries very low risk.

-the item is new and key diagnostics are needed.

Front 130

Simulated test marketing may be used to gain estimates of __________________ needed to turn A-T-A-R into a sales forecast:

Back 130

trial/repeat purchasing

Front 131

The __________________ model is able to produce both an A-T-A-R and preference-based forecast, and compare the two to produce market share predictions.

Back 131

assessor

Front 132

The latest version of simulated test marketing is the ________________--which makes th process even faster, easier, and less expensive.

Back 132

visionary shopper

Front 133

Direct marketing tests offer the advantage of:

Back 133

-secrecy.

-rapid feedback.

-low cost.

-ease of testing multiple variations.

Front 134

In the _______________ approach, each store in the test is treated as a "minicity".

Back 134

minimarket

Front 135

Controlled-distribution scanner markets are characterized by:

Back 135

-cable TV interrupt privileges.

-a full record of all media going into the home.

-family-by-family purchasing.

-A 95 percent record of all store sales for tested items.

Front 136

Info Scan is best described as a(n):

Back 136

method of market test design/data gathering.

Front 137

Test marketing:

Back 137

-can be used to evaluate the realities of a national distribution.

-relies heavily upon the identification of representative samples.

-is increasingly used to fine tune the marketing plan.

-can, at best, reduce--not eliminate--the risk of failure.

Front 138

Yhe following statement about test marketing IS NOT TRUE:

Back 138

the results are accurate and projectable.

Front 139

Roll outs:

Back 139

-have surpassed test marketing in use and popularity.

-do not rely on "representative" areas, but areas the firm thinks are best.

-make no attempt to hide the launch effort.

Front 140

Rollouts still involve risks because:

Back 140

-investment in a new production facility is often required.

-fast competitors still have the ability to "leapfrog".

-availability of desirable distributors is not guaranteed.

-rollouts do not generate the volume of publicity provided by a national launch.