Ba 390 Quiz 5

Front 1

buying of a whole company, a patent, or a license to produce someone else's product

Back 1

aquisition

Front 2

development of original products, product improvements, product modifications, and new brands developed from the firm's own research and development

Back 2

new product development

Front 3

8 steps to the new product development process IICMBPTC

Back 3

idea generation, idea screening, concept development, marketing strategy, business analysis, product development, test marketing, commercialization

Front 4

2 sources for new product ideas in product generation

Back 4

internal- r&d, intrapreneurial, External- customer, competitors, distributors, suppliers

Front 5

during the idea screening, what are the 3 questions to be answered?

Back 5

RRW screening framework, is it real, can we win, is it worth doing

Front 6

3 pieces to concept development

Back 6

product idea, product concept, and concept testing

Front 7

idea for a possible product

Back 7

product idea,

Front 8

detailed version of the idea stated in meaningful consumer terms

Back 8

product concept

Front 9

testing new product concepts with groups of target consumers

Back 9

concept testing

Front 10

in the marketing strategy development section, what is developed? 3 pieces

Back 10

marketing strategy statement- description of the target market and value proposition, price distribution and budget, and long run sales and profit goals

Front 11

during the business analysis, what is decided?

Back 11

to go or no

Front 12

the creation and testing of one or more physical versions by the R&D or engineering departments

Back 12

product developments

Front 13

During the test marketing stage you will test the _______ and the _______ ______ ______ before full introduction

Back 13

product, entire marketing program

Front 14

3 types of test markets

Back 14

standard test markets, controlled test markets, and simulated test markets

Front 15

a full marketing campaign in a small representative market

Back 15

standard test markets

Front 16

panels of stores agree to carry new products for a fee; less expensive and faster than standard markets

Back 16

controlled test markets

Front 17

firm creates a shooping environment that includes the new product and competing products

Back 17

simulated test markets

Front 18

3 advantages and 1 disadvantage to a simulated test market

Back 18

less expensive, faster, restrict competitors access. and its fake

Front 19

What test market do you use for a new product with large investment, and uncertainty about the product?

Back 19

standard test market

Front 20

what test market do you use for a simple line extension, copy of a competitors product, or low cost of introduction

Back 20

controlled test markets

Front 21

3 things to consider when in the commercialization process

Back 21

when to launch, where to launch, rollout plan

Front 22

3 requirements for successful new-product development

Back 22

customer centered, team based, and systematic

Front 23

Whats the old school approach to managing new product development? benefits?

Back 23

squential new product development- departments work individually to complete each stage of the process. increased control but slow

Front 24

Newer approach to managing product development?

Back 24

team-based new-product development- company departments work closely together in cross functional teams, overlapping in the product development process

Front 25

New product development should be 2 things?

Back 25

holistic and systematic

Front 26

describe the product lifestyle 5 stages, PIGMD

Back 26

product development- zero sales, introduction- slow sales growth, growth- rapid acceptance, maturity-slower growth, and decline- sales fall

Front 27

3 special product styles

Back 27

style- M shaped, Fashion- One hump, Fad- temporary periods of unusually high sales

Front 28

3 things that happen in the growth stage

Back 28

new competitors enter the market, prices stay constant, and cost of promotion decrease

Front 29

3 things that happen in maturity stage

Back 29

slowdown in sales, prices fall, weak competitors leave

Front 30

what happens in the decline stage

Back 30

technology changes, increased competition, and changing consumer taste

Front 31

the amount of money charged for a product or service

Back 31

price

Front 32

understand how much value consumers place on the benefits they receive from the product and set a price that captures that value

Back 32

basic idea

Front 33

setting price based on buyers' preceptions of value rather than on the seller's cost

Back 33

Value- based pricing

Front 34

setting prices based on the costs for producing, distributing, and selling the product plus a fair rate of return for effort and risk

Back 34

cost based pricing

Front 35

costs that do not vary with production or sales level

Back 35

fixed costs

Front 36

the sum of the fixed and variable costs for any given level of production

Back 36

total costs

Front 37

costs that vary directly with the level of production

Back 37

variable costs

Front 38

setting price to break even on the costs of making and marketing a product, or setting price to make a target profit

Back 38

break even pricing

Front 39

the drop in the average per-unit production cost that comes with accumulated production experience

Back 39

experience curve

Front 40

a measure of the sensitivity of demand to changes in price

Back 40

price elasticity

Front 41

a curve that shows the number of units the market will buy in a given time period, at different prices that might be charged

Back 41

demand curve

Front 42

pricing that starts with a ideal selling price, then targets costs that will ensure that the price is met

Back 42

target costing