8. MKT 201 - Chapter 9 - New Products and the Product Life Cycle

In which stage of the new product development process would a firm generate as many ideas as it can in a brainstorming manner?

• Idea Generation

• Idea Screening

• Concept Development and Testing

• Marketing Strategy Development

In which stage of the new product development process would a firm eliminate many ideas and keep a few that are realistic and worth doing?

• Idea Generation

• Idea Screening

• Concept Development and Testing

• Marketing Strategy Development

In which stage of the new product development process would a firm test new product concepts with a group of target customers?

• Idea Generation

• Idea Screening

• Concept Development and Testing

• Marketing Strategy Development

 In which stage of the new product development process would a firm design an initial marketing strategy for a new product, based on the product concept?

• Idea Generation

• Idea Screening

• Concept Development and Testing

• Marketing Strategy Development

Which statement regarding business analysis is incorrect?

• Business analysis is the 5th stage of the new product development process.

• Business analysis involves looking at potential sales, revenues, cost of product, etc.

• The benefit (demand) does not need to cover the cost.

• This stage involves the firm being more committed to the product as they are committing with more costs towards developing it.

Which statement regarding product development is incorrect?

• Product development is the 6th stage of the new product development process.

• Product development involves developing the product concept into a physical product to ensure that the product idea can be turned into a workable market offering.

• Product development involves creating the actual product and testing out the issues.

• Product development does not require research as the firm does not need to know about what features consumers may like about the product.

Which statement regarding test marketing is incorrect?

• Test marketing is the 7th stage of the new product development process.

• Test Marketing is the in which the product and its proposed marketing program are tested in realistic marketing settings.

• Test marketing involves the firm selling the product to a test market.

• Test marketing should not have any promotions for the product.

Which statement regarding commercialization is incorrect?

• Commercialization is the 8th stage of the new product development process.

• Commercialization involves introducing a new product into the market.

• Commercialization is the actual release of the product to the broader market.

• Commercialization can occur at any time of the year equally for any type of product.

What is the best term to describe the product life cycle?

• The timeline of product development stages, from concept to market launch.

• The course of a product’s sales and profits over its lifetime.

• The phases a product goes through, including introduction, growth, saturation, and decline.

• The analysis of a product's competitive position in the market over time.

What statement regarding product development is incorrect?

• Product development begins when the company finds and develops a new product idea.

• Product development is a part of the product life cycle itself.

• Product development occurs before the life of a product.

• During product development, sales are zero, and the company’s investment costs mount.