MKT101_C9

What are the two ways that a company can obtain new products?

• line extension and brand management

• internal development and brand management

• new-product development and acquisition

• service development and product extension

• market mix modification and research and development

Which of the following is NOT a challenge presented by the product life cycle that a firm must face?

• All products eventually decline.

• Changing tastes, technologies, and competition affect the marketing of the product as it passes through lifecycle stages.

• A firm must be good at developing new products to replace aging ones.

• A firm must be good at adapting its marketing strategies.

• It is difficult to plot the stages as a product goes through them

The creation of a successful new product depends on a company's understanding of its ________ and its ability to deliver ________ to customers.

• competitors, distributors, and employees; new styles

• customers, brands, products; product images

• product, marketing mix, and marketing strategy; functional features

• customers, competitors, and markets; superior value

• product life cycle, legal responsibilities, and social responsibilities; innovations

Your company decides to use internal sources for developing new product ideas. Which of the following would NOT be consulted?

• executives and professionals

• company records and data

• intrapreneurial programs

• suppliers

• salespeople

A detailed version of a new idea stated in meaningful customer terms is called a ________

• product idea

• product concept

• product image

• product proposal

A ________ is the way consumers perceive an actual or potential product.

• product idea

• product concept

• product image

• test market

• concept test

In the concept testing stage of new-product development, a product concept in ________ form is presented to groups of target consumers.

• physical or symbolic

• prototype

• final

• market-tested

• commercial

With what groups do firms conduct concept testing for new products?

• suppliers

• employees

• target customers

• manufacturers

• competitors

In the ________ stage of new-product development, products undergo rigorous tests to make sure that they perform safely and effectively or that consumers will find value in them.

• business analysis

• idea generation

• concept development and testing

• product development

Under what circumstances might it be wise for a company to do little or no test marketing?

• when a new product requires a major investment

• when management is not sure of the product

• when management is not sure of the marketing program

• when the product has no substitutes and is new in its category

• when the costs of developing and introducing the product are low