Chapter 6 Quiz (marketing TEST 2 PREP)

John is 55 years old and is a janitor at a school. He prefers to buy the same brands he used as a young man and does not trust online retailers. What type of adopter can John be classified as? Late majority Early adopter Early majority Laggard Innovator

Which stage of the product life cycle is characterized by increases in sales, profits, and competition? Decline Conception Introduction Maturity Growth

Which of the following is an advantage of sequential new-product development? Input from all functional areas happens throughout the process. Delays in one functional area do not hold up work in other areas. It is a less time-consuming approach than concurrent new-product development. Companies can track project progress more easily than with concurrent new-product development. Problems are recognized earlier in the process.

A _____ is a mockup of a good, often created individually with the materials a firm expects to use in the final product. fad product first-mover high-learning product prototype low-learning product

In the context of the consumer adoption process, which of the following is true of the stage termed evaluation? At this stage, the consumer thinks about the product's value and whether to try it out. At this stage, the consumer tests or uses the product to see if it meets requirements. This is the first stage of the consumer adoption process. At this stage, the consumer buys and uses the product. This is the final stage of the consumer adoption process.

Which of the following scenarios reflects the trial stage of the consumer adoption process? A consumer ordering a new customized desktop computer from an online retailer A consumer test riding a bike at a sports equipment store to see if she likes it A consumer reading online reviews of a mobile phone A consumer buying an extended warranty on a product A consumer seeing an advertisement urging the audience to try a new high-speed Internet service free of cost

n the context of new-product characteristics that impact the adoption rate of a product, _____ refers to how well a new product fits into potential customers' needs, values, product knowledge, and past behaviors. observability compatibility scanability complexity trialability

Which of the following risks that a company takes in new-product development is the most severe? Target price is not accepted by the market. Product takes sales from existing products. Competitors copy products and sell them at a lower price. Supplier cost savings are not achieved. Product fails to meet needs and wants of customers.

Which of the following is true of new category entries? They are new to the market place but not new to a company. They represent something that has never been sold before. They help a company open up a whole new set of customers. They are more risky than new-to-the-market products. A company will have no information on sales trends, competitor products and prices, and location of markets for these products.

hich of the following is the first stage in the consumer adoption process? Awareness Trial Interest Adoption Evaluation

Tesseract Inc. launched a range of small toy cars which became extremely popular within days of its release. Customers queued up to buy the cars and stores ran out of stock rapidly. However, in a few months, demand for the product started to decline and the company soon discontinued production of the range. Based on the product life cycle curve of the product, the product can be identified as a: staple product. fad product. low-learning product. high-learning product. fashion product.

_____ is a practice in which companies frequently come out with new models of a product that make existing models outdated. Diffusion Overengineering Planned obsolescence Discontinuous obsolescence Mass customization

One of the disadvantages of concurrent new-product development is that: problems are usually recognized later in the process than with a sequential path. it is more difficult to control when compared to sequential new-product development. it can be inefficient. it can be time-consuming. delays in one functional area hold up work in other areas.

Catalina, a young, successful manager, always buys the latest gadgets on the market. She takes pride in buying new technology products as soon as they are launched and her friends always seek her opinion about new products. Which type of adopter can Catalina be categorized as? Early adopter Laggard Late majority Innovator Early majority

Which of the following is the last stage in the new-product development process? Prototyping and testing new product ideas to determine likely consumer interest Determining the direction a company will take when developing a new product Conceiving new product concepts from which possible new products can be selected Initially producing, distributing, and promoting a new product Test marketing a product to see how well it sells

Which of the following is a feature of fad products? They have steep up-and-down product life cycle curves. They have benefits customers can easily see. They usually do not have a good infrastructure in place to support them. They have longer life cycles than do fashion products. They have longer life cycles than low-learning products.

Borneo Inc. manufactures coffee. It used to sell its product in glass jars, but it has recently made its coffee more granular and packaged it in vacuum-packed cartons which weigh less. This product is an example of: product line extension. a revamped product. product diversification. a new-to-the-market product. a new category entry.

A group of related products marketed by the same firm is known as a(n): product screen. product prototype. individual brand. generic brand. product line.

The process by which new products are likely to be adopted, the rate at which they will be adopted, and the process through which the products will spread into markets is termed: evaluation. redistribution. singularization. fragmentation. diffusion.

Zen Breweries has plans to develop a new beverage. It wants to reduce risks in the development of its new product. Which of the following steps will help Zen reduce the risk of new-product failure? Zen should price its product lower than other similar products in the market. Zen should use the concurrent new-product development approach rather than the sequential approach. Zen should be determined not to fail under any circumstances. Zen should listen to the customer carefully. Zen should skip the first three stages of the new-product development process in order to quickly launch its new product.