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1 | |
Which of the following is NOT one of the stages of the product life cycle? |
| | A) | Market maturity |
| | B) | Market growth |
| | C) | Sales decline |
| | D) | Product initiation |
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2 | |
In the market maturity stage, industry profits and industry sales both continue to increase. |
| | A) | True |
| | B) | False |
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3 | |
Towards the end of the _____________ stage, industry profits begin to decline. |
| | A) | Market growth |
| | B) | Market maturity |
| | C) | Sales decline |
| | D) | Market introduction |
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4 | |
The ____________ stage occurs when industry sales level off and competition gets tougher. |
| | A) | Sales decline |
| | B) | Market introduction |
| | C) | Market maturity |
| | D) | Market growth |
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5 | |
The sales and profits of an individual product or brand follow the same life-cycle pattern as a product idea within a particular product market. |
| | A) | True |
| | B) | False |
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6 | |
A new product idea will move through the early stages of the life cycle more quickly when it has all of the following characteristics, EXCEPT: |
| | A) | A greater comparative advantage of the new product over those already on the market. |
| | B) | It is difficult to use. |
| | C) | It is easy to communicate. |
| | D) | It can be tried on a limited basis. |
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7 | |
The lives of different products vary, but in general, product life cycles are ___________. |
| | A) | Getting longer |
| | B) | Getting shorter |
| | C) | Not changing |
| | D) | Unknown |
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8 | |
Fashion related products tend to have __________ life cycles. |
| | A) | Short |
| | B) | Long |
| | C) | Variable |
| | D) | No |
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9 | |
When the early stages of the product life cycle will be fast, a ___________ initial price may make sense to help develop loyal customers early and keep competitors out. |
| | A) | Low |
| | B) | High |
| | C) | Flexible |
| | D) | Free |
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10 | |
It is always in the best interest of the market pioneer for competitors to stay out of the market. |
| | A) | True |
| | B) | False |
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11 | |
During the sales decline stage of the life cycle it is best to get out of the market as quickly as possible, without considering other market-oriented strategies. |
| | A) | True |
| | B) | False |
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12 | |
In terms of product life cycles, to be considered a "new product" that will go through the introductory stage, a product must be completely different and come from a fresh idea. |
| | A) | True |
| | B) | False |
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13 | |
According to the Federal Trade Commission, a product can be considered "new" for ___________. |
| | A) | One year |
| | B) | Two years |
| | C) | Six months |
| | D) | One month |
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14 | |
Which one of the following is NOT a step of the new-product development process? |
| | A) | Idea generation |
| | B) | Idea evaluation |
| | C) | Commercialization |
| | D) | Removal from the market |
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15 | |
The general new-product development process only applies to goods, and not to services. |
| | A) | True |
| | B) | False |
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16 | |
The legal obligation of sellers to pay damages to individuals who are injured by defective or unsafe products is called ________________. |
| | A) | Product liability |
| | B) | Negligent manufacturing |
| | C) | Breach of warranty |
| | D) | Marketing malpractice |
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17 | |
Concept testing, getting reactions from customers about how well a new product idea fits their needs, is used at the ______________ step of the new-product development process. |
| | A) | Idea evaluation |
| | B) | Idea generation |
| | C) | Screening |
| | D) | Development |
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18 | |
Companies that are particularly successful at developing new goods and services seem to have which of the following trait(s) in common. |
| | A) | Enthusiastic top-management support |
| | B) | Experienced R&D departments |
| | C) | Sales department dedicated only to new products |
| | D) | All of the above |
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19 | |
________________ seek to satisfy customer needs at a profit with an integrated company effort. |
| | A) | Product oriented firms |
| | B) | Marketing oriented firms |
| | C) | Service firms |
| | D) | None of the above |
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2003 McGraw-Hill Higher Education