1. Which of the following is the best example of a new-to-the-world product?
Walmart, the retail giant, opens new stores in an underdeveloped African country.
Pestorica, a publishing company, decides to launch a new sports magazine.
Tata Motors, an Indian automobile company, acquires Jaguar to extend its business.
An Asian company licenses a U.S. apparel brand name though the brand is not familiar in Asia.
Kids-Med, a company that produces childcare products, launches a non-contact thermometer.
1. Identify the stage in the consumer adoption process in which the customer is stimulated to seek information about the innovation.
1. The highest loss a project can create is called ________.
rapid prototyping income
maximum investment exposure
incremental yearly exposure
1. Troma Inc., is a famous manufacturer of cookware, that follows a traditional distributor-retailer system to distribute its products. The company abstains from the use of automated supply chain management (SCM) system mainly due to the fear of unknown. However, rapidly escalating operational costs and inefficiencies have made it absolutely necessary for the company to implement an SCM system. The company goes for a big-bang installation of SCM system to become more competitive and cost effective. Identify the adopter group to which Troma belongs.
1. A team formed at Intercom, Inc. to generate ideas for new products, conducts frequent meetings and engages in activities such as mind mapping and brainstorming. Most of the meetings are conducted at informal locations away from office. These workplaces are called ________.
stage gate systems
1. Morboro Energy, Inc. is a large chain of fuel stations in Europe. The company decided to expand its business by incorporating restaurants and automobile service stations as a part of its fuel outlets. This is an example of ________.
1. With ________, respondents see different hypothetical offers formed by combining varying levels of the attributes, then rank the various offers.
gap level analysis
1. Relative advantage of an innovation refers to the degree to which ________.
it matches the values and experiences of the individuals
it is difficult to understand or use
it can be tried on a limited basis
it appears superior to existing products
the benefits of use are observable or describable to others
1. Poga International, a multinational beverage corporation identifies that one of its competitors is launching an apple flavored drink. The company decides to launch an apple flavor brand along with its competitor. What timing strategy is used here?
1. Some firms might delay the launch of their products until after the competitor has borne the cost of educating the market. Such an entry is called ________ entry.
strategic pay off
1. A ________ error occurs when the company dismisses a good idea.
1. Identify a shortcoming of giving the responsibility of new product development to the product managers of a company.
They would not be familiar with the industry standards.
Product managers would not have an operational focus.
Product managers are often busy managing existing lines.
They will find it difficult to gain support from employees.
Product managers are less likely to use participative management.
1. ________ are informal workplaces, sometimes garages, where intrapreneurial teams attempt to develop new products.
1. Consumer preferences for alternative product concepts can be measured through ________, a method for deriving the utility values that consumers attach to varying levels of a product’s attributes.
gap level analysis
1. Surgeons and ER nurses would be considered ________ for surgical equipment.
1. In consumer-goods market testing, the company seeks to estimate four variables. These four variables are: trial, first repeat, adoption, and ________.
1. ________ is a customer test that involves placing the product within the firm to see how it performs in different applications.
1. A large FMCG company decides to test market Kora, a new brand of face cleanser, to be launched soon. The company initially distributes a few free samples to some prospective consumers. Later it offers the product to the customers at a discounted price and observes that not only more than seventy percent of the customers are purchasing it but the same number are also satisfied using it. The company keeps using this process 3-4 times to obtain a correct count of the number of people purchasing the product repeatedly. Which of the following testing methods is being used here?
full test marketing
1. Which of the following terms refers to the degree to which the innovation can be tried on a limited basis?
1. A(n) ________ is any good, service, or idea that is perceived as new, no matter how long its history.