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E-book devices such as Kindle by Amazon changed the way we read! For example,the Kindle is a software and hardware platform that requires you to learn how to use this technology,whether you buy the Kindle reader device or have the content sent to your iPhone.The Kindle would be considered a(n) :


A) continuous innovation.
B) discontinuous innovation.
C) dynamically continuous innovation.
D) spontaneous innovation.

E) A) and B)
F) A) and D)

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All of the following are advantages in using virtual reality test marketing,except:


A) it is often less expensive
B) it is often more flexible
C) it can often reduce the time to market
D) it can often be more expensive

E) All of the above
F) A) and B)

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Which of the following is NOT an attribute of a new product?


A) The product is less than 6 months old.
B) The product requires a significant degree of "new" learning by consumers.
C) The product is "new" in legal terms.
D) The product is "new" from a competitor's perspective.

E) B) and C)
F) A) and D)

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Which of the products listed below would be the best candidate for full-scale market testing?


A) totally free checking account from The Royal Bank of Canada
B) household (not individualized) frequent flyer program from Air Canada
C) mid-priced luxury sedan made in America by Mazda
D) new iced coffee beverage from Snapple

E) A) and C)
F) All of the above

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There have been pasta sauces on the market for years.These sauces have always required the pasta be pre-cooked before it is mixed with the sauces and other ingredients.The newly developed Prego Pasta Bake Sauce does not require the use of pre-cooked pasta.Prego would most likely promote this product through:


A) personal salespeople.
B) product trials.
C) the implementation of a penetration strategy.
D) advertising how the sauce differs from those currently on the market.

E) A) and B)
F) A) and D)

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Each of the following statements illustrates a reason why creating and delivering new services is much more difficult than creating new tangible products EXCEPT:


A) The new-service development process is also difficult to map out for the service company and often difficult for the service customer to observe.
B) Most service companies focus on creating incremental improvements.
C) New services usually do not have a tangible product to carry a brand name.
D) Many services require the physical presence of the customer, which demands local decentralized production of the service.

E) C) and D)
F) All of the above

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The demand for one product that results from the demand for another product is called:


A) derived demand.
B) contrived demand.
C) primary demand.
D) secondary deman

E) C) and D)
F) A) and B)

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Specialized bicycles may increase the demand for Shimano gears if there is an increase in consumer demand for specialized mountain bikes.This illustrates _______.


A) derived demand
B) contrived demand
C) secondary demand
D) primary demand

E) All of the above
F) B) and D)

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Which of the following products at the time of its introduction was the best example of a dynamically continuous innovation?


A) compact disc player
B) disposable lighter
C) personal computer
D) automatic dishwasher

E) B) and C)
F) A) and B)

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Molson launched a Brazilian imported beer in Canada called A Marca Bavaria. After three years and disappointing sales,the product was removed from the market.Which of the following is NOT suggested as an organizational problem that can lead to new-product failure?


A) Not really listening to the "voice of the consumer."
B) Skipping steps in the new-product process.
C) Pushing a poorly conceived product into the market to generate quick revenue.
D) Learning critical takeaway lessons from past failures.

E) C) and D)
F) B) and C)

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You greatly admire a set of Ralph Lauren crystal goblets you see at a dinner party,and decide to buy four,despite the somewhat surprising price of $60 each.They are only available in your area in a Polo Ralph Lauren shop,40 miles from campus.Into which classification of consumer goods would the crystal goblets fall?


A) convenience goods
B) shopping goods
C) specialty goods
D) unsought goods

E) A) and B)
F) None of the above

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Which of the following products was the best example of a continuous innovation when introduced?


A) The PalmPilot personal assistant
B) Atari video game system
C) Breathe Right nasal strips
D) ViaVoice Gold voice recognition software

E) C) and D)
F) B) and C)

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Simulated test markets are the same as:


A) market test sites where organizations sell a new product via normal distribution channels and then monitor the results.
B) forced distribution markets.
C) laboratory test markets.
D) those in which a product is offered for sale on a limited basis.

E) A) and B)
F) B) and C)

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Special marketing efforts are usually needed to communicate the benefits to potential buyers of ________________,because they are intangible.


A) nondurable goods
B) unsought goods
C) durable goods
D) services

E) All of the above
F) A) and D)

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A retail chain hires a company to design and install a computer network that would allow each store in the chain to check the inventory of others in the chain for customer-requested items.The retail chain would have purchased a(n) :


A) accessory equipment.
B) service.
C) supply material.
D) component part.

E) All of the above
F) A) and B)

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Mr.Clean is an antibacterial cleaning liquid for home use.The manufacturer of Mr.Clean believed the addition of Sparkling Apple-Scented Mr.Clean to the Mr.Clean product line,will be:


A) seen as a discontinuous innovation.
B) viewed as new from the company's perspective because it is a product line extension.
C) viewed as a high-risk product line addition because it is new to the market.
D) defined as new by Industry Canada for the usual six month perio

E) A) and C)
F) None of the above

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Support goods are:


A) products purchased by the ultimate consumer.
B) products for which the consumer will compare several alternatives on several criteria.
C) items used to assist in the production of other goods.
D) items the consumer purchases frequently and with a minimum of shopping effort.

E) A) and D)
F) None of the above

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According to innovation at Apple,how it conceives,produces,and markets new products and/or services,is the foundation for:


A) the success of a business
B) further innovations
C) competitive positioning
D) employee satisfaction

E) A) and B)
F) A) and C)

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At Mattel,new product prototypes are child tested in special testing playgrounds during the _____ stage in the new-product process.


A) new-product strategy
B) development
C) business analysis
D) screening and evaluation

E) B) and D)
F) None of the above

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Procter & Gamble offers home cleaning products (such as Mr.Clean) ,personal health products (such as Colgate toothpaste) ,and optometry products (such as contact lenses) .Collectively,these would be Procter & Gamble's:


A) product class.
B) product mix.
C) product category.
D) marketing mix.

E) A) and D)
F) B) and D)

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