MM 4Th Edition By Dawn Iacobucci – Test Bank

MM 4Th Edition By Dawn Iacobucci – Test Bank

Chapter 8 – New Products

TRUE/FALSE

1. Companies are ever-evolving and the primary way they make changes is by offering “new and improved” goods and services to customers.

ANS: T PTS: 1 DIF: Easy REF: Page 91
NAT: BUSPROG Analytic LOC: DISC: Creative
TOP: Why Are New Products Important?
KEY: Bloom’s: Comprehension MSC: MBA: Managing Strategy & Innovation

2. Zena’s company is seeking to improve its current products. Ultimately, the company would do this for one reason only.

ANS: F PTS: 1 DIF: Challenging REF: Page 91
NAT: BUSPROG Reflective Thinking LOC: DISC: Product
TOP: Why Are New Products Important?
KEY: Bloom’s: Application
MSC: MBA: Knowledge of Technology, Design, & Production

3. Change in the market is always occurring.

ANS: T PTS: 1 DIF: Moderate REF: Page 91
NAT: BUSPROG Communication LOC: DISC: Product
TOP: Why Are New Products Important?
KEY: Bloom’s: Knowledge MSC: MBA: Generative Thinking

4. It’s been shown that new products increase a company’s long-term financial performance and the firm’s value.

ANS: T PTS: 1 DIF: Moderate REF: Page 91
NAT: BUSPROG Analytic LOC: DISC: Product
TOP: Why Are New Products Important?
KEY: Bloom’s: Knowledge MSC: MBA: Managing Strategy & Innovation

5. Change is not fun.

ANS: F PTS: 1 DIF: Easy REF: Page 91
NAT: BUSPROG Analytic LOC: DISC: Product
TOP: Why Are New Products Important?
KEY: Bloom’s: Knowledge MSC: MBA: Managing Strategy & Innovation

6. The process of developing new products depends first on a company’s location.

ANS: F PTS: 1 DIF: Moderate REF: Page 91
NAT: BUSPROG Analytic LOC: DISC: Product
TOP: How Does Marketing Develop New Products For Their Customers?
KEY: Bloom’s: Comprehension MSC: MBA: Operations Skills

7. Some companies take a nearly exclusively top-down approach and use a new product development process.

ANS: T PTS: 1 DIF: Challenging REF: Page 91
NAT: BUSPROG Reflective Thinking LOC: DISC: Product
TOP: How Does Marketing Develop New Products For Their Customers?
KEY: Bloom’s: Evaluation
MSC: MBA: Managing Administration & Control

8. Frank is a senior executive at Company XYZ, and has argued that a top-down approach to new product development should be implemented. Frank explains that just because the top-down approach has few steps in the process doesn’t mean the products are simple, or that the process unfolds quickly. Frank’s explanation of the top-down approach is correct.

ANS: T PTS: 1 DIF: Challenging REF: Page 91
NAT: BUSPROG Reflective Thinking LOC: DISC: Marketing Plan
TOP: How Does Marketing Develop New Products For Their Customers?
KEY: Bloom’s: Application MSC: MBA: Managing Strategy & Innovation

9. Bottom up is sometimes also called “inside out”.

ANS: F PTS: 1 DIF: Easy REF: Page 92
NAT: BUSPROG Reflective Thinking LOC: DISC: Marketing Plan
TOP: How Does Marketing Develop New Products For Their Customers?
KEY: Bloom’s: Knowledge MSC: MBA: Managing Strategy & Innovation

10. In the real world, companies do not use a purely bottom up or top down marketing process.

ANS: T PTS: 1 DIF: Moderate REF: Page 92
NAT: BUSPROG Reflective Thinking LOC: DISC: Marketing Plan
TOP: How Does Marketing Develop New Products For Their Customers?
KEY: Bloom’s: Knowledge MSC: MBA: Managing Strategy & Innovation