Accounting
Anthropology
Archaeology
Art History
Banking
Biology & Life Science
Business
Business Communication
Business Development
Business Ethics
Business Law
Chemistry
Communication
Computer Science
Counseling
Criminal Law
Curriculum & Instruction
Design
Earth Science
Economic
Education
Engineering
Finance
History & Theory
Humanities
Human Resource
International Business
Investments & Securities
Journalism
Law
Management
Marketing
Medicine
Medicine & Health Science
Nursing
Philosophy
Physic
Psychology
Real Estate
Science
Social Science
Sociology
Special Education
Speech
Visual Arts
Business Development
Q:
Which of the following serves as the basis of many simulated test markets?
A. The cumulative expenditures curve
B. The risk or payoff matrix
C. The A-T-A-R model
D. The decay curve
Q:
In the context of forecasting sales using an A-T-A-R model, which of the following methods can be used if the data availability is inaccurate?
A. A what-if analysis
B. A diffusion analysis
C. A regression analysis
D. A correlation analysis
Q:
According to the A-T-A-R model, long-run market share can be expressed as MS= T R AW AV. In this equation, "R" is the:
A. ultimate long-run trial rate.
B. ultimate long-run repeat purchase rate.
C. percent availability.
D. percent awareness.
Q:
As per the A-T-A-R model, long-run market share can be expressed as MS = T R AW AV. What does "T" stand for in the equation?
A. Ultimate long-run trial rate
B. Ultimate long-run repeat purchase rate
C. Percent awareness
D. Percent availability
Q:
_____ is one of the pseudo sale market testing methods used later in the new product process, typically when the physical product is available for the consumer to take home and try.
A. The Delphi probe model
B. The A-T-A-R model
C. Scenario writing
D. Regression analysis
Q:
Ancon Inc., typically forecasts potential product sales based on the number of customers who say they would either definitely or probably buy the product, on a five-point scale. The firm's sales forecast is based upon _____.
A. regression analysis
B. the A-T-A-R model
C. purchase intentions
D. test market results
Q:
It is difficult to forecast success for _____.
A. product improvements
B. line extensions
C. new-to-the-world products
D. flanker brands
Q:
In a new product development process, which of the following is most likely to be determined first while analyzing the financial aspects of a product?
A. Net present value
B. Sales forecast
C. Internal rate of return
D. Payback period
Q:
Sales forecasting is typically the responsibility of a _____ on the new product team.
A. project manager
B. technical advisor
C. marketing person
D. process manager
Q:
Which of the following is true of sales forecasting for new products?
A. If a product's potential is high, sales will materialize in spite of insufficient marketing efforts.
B. Sales forecasting is the final step in a financial analysis.
C. Sales forecasting is conducted only after calculating key financial benchmarks such as net present value or internal rate of return.
D. Sales forecasting is typically the responsibility of the marketing personnel on the new products team.
Q:
In order to calculate the net present value, that might be associated with a proposed product, it is necessary to:
A. create a sales forecast.
B. calculate the internal rate of return, IRR.
C. define the payback period.
D. assess costs.
Q:
With reference to new product development, the top performing firms tend to rely only on financial criteria.
Q:
In a bottom-up strategic approach, the firm lays out its strategy first, and then allocates funds across different kinds of projects.
Q:
New product projects need to be considered on how well they fit the firm's strategy for innovation.
Q:
Many of the mathematical sales forecasting models were initially developed for use on durable goods.
Q:
Factor analysis can be used to estimate the net present value of a new product when it is still in the concept stage.
Q:
An early field use test with a prototype will not assure success, but it can say intended users like what they see.
Q:
Most common forecasting methods are extrapolations and work well on established products.
Q:
Product innovators, including consumer packaged goods innovators, still most often use a simple version of the A-T-A-R model.
Q:
Adoption of innovation refers to the process by which an innovation is spread within a market, over time and over categories of adopters.
Q:
Laggards refer to those users who will be among the first to try the product.
Q:
The A-T-A-R model is the basis of many simulated test markets.
Q:
In addition to the considerations of time and cost, one should also consider product and market newness when selecting the most appropriate forecasting model.
Q:
In the product development process, sales forecasting is typically the responsibility of the process manager on the new product team.
Q:
In a new product development process, the financial analysis generally begins with the calculation of the net present value, NPV.
Q:
Even if a product's potential is extremely high, its sales may not materialize due to insufficient marketing effort.
Q:
Explain the analytic hierarchy process.
Q:
Discuss the NewProd screening model.
Q:
Discuss the role of individuals as scorers or judges in a scoring model.
Q:
Briefly discuss the technical and commercial success factors included in the Industrial Research Institute Scoring Model.
Q:
Discuss the objectives of full screen.
Q:
_____ systems are computerized scoring systems with the factors developed on the basis of expert experience.
A. Knowledge-based
B. Factor testing
C. Virtual concept
D. Auto-scoring
Q:
Which of the following techniques can be used by a product champion to ensure that the concept gets a fair hearing at all turns?
A. By deciding the weights for the factors included in a scoring model
B. By selecting an appropriate scoring model
C. By establishing culling factors
D. By providing all favorable information
Q:
Lia Hwang was asked to attend a new product scoring session in order to explain the special considerations and the intangible benefits unique to the concept she helped develop. Lia's role was to push past normal resistance to change and to see that the concept gets a fair hearing at all turns. Lia is best described as a _____.
A. virtual scorer
B. product champion
C. knowledge manager
D. process facilitator
Q:
_____ is a commercially available software that makes the Analytic Hierarchy Process (AHP) very easy to use.
A. Expert Choice
B. Lotus Notes
C. Cryptix
D. Groupshare
Q:
The Analytic Hierarchy Process is a form of _____ analysis.
A. attribute
B. factor
C. decision tree
D. predictive
Q:
Which of the following techniques is most likely to be used for product project screening and evaluation?
A. Perceptual gap mapping
B. Scenario analysis
C. Factor analysis
D. Analytic Hierarchy Process
Q:
According to the screening model derived from the NewProd study, which of the following can be categorized under "should-meet" criteria?
A. Good strategic alignment between project and strategy
B. Market attractiveness
C. Availability of distribution channels
D. Acceptable risk-return ratio
Q:
According to the screening model derived from the NewProd study, which of the following falls under "must-meet" criteria?
A. Strategic importance
B. Good strategic alignment between project and strategy
C. Product advantage to the customer
D. Market attractiveness
Q:
According to the screening model derived from the NewProd study, an acceptable risk-return ratio is an example of a _____.
A. should-meet criteria
B. must-meet criteria
C. will-meet criteria
D. ideal-meet criteria
Q:
Valclick Inc., during the full screen phase of its new product process, uses an approach that graphically arranges five-point scorings on different factors. Which of the following approaches is Valclick using in this scenario?
A. Sensitivity analysis
B. Factor analysis
C. Profile sheets
D. Specificity testing
Q:
The use of weights in scoring models is subject to serious criticism because:
A. weightings are necessarily judgmental.
B. the effect of weightings cannot be measured using sensitivity analysis.
C. they use all-or-nothing, yes-or-no answers as factors.
D. they can be used only for open-ended questions.
Q:
Since factor weightings are of great importance, many firms evaluate the impact of assigned weights through _____.
A. sensitivity testing
B. factor analysis
C. specificity testing
D. profile analysis
Q:
Who among the following is less likely to be a member of the scoring team for a full screening process in an organization?
A. Marketing manager
B. Operations head
C. Technical head
D. General manager
Q:
When combining the individual team member's ratings, if the factors being scored have all-or-nothing, yes-or-no answers, then these factors should be handled by using:
A. benefit segmentation for the given factors.
B. the end points on the semantic differential scale, with no gradations.
C. the Olympic method of dropping the highest and lowest ratings.
D. the risk-payoff model of factor screening.
Q:
Comport Corp. automatically dismisses any concept that does not seem to have the potential to be first or second in its market. In this case, Comport is using market share as a _____.
A. surrogate factor
B. culling factor
C. Level One factor
D. conjoint factor
Q:
In the context of the scoring model, culling factors should generally be established in the _____.
A. marketing report
B. product innovation charter
C. firm's mission statement
D. articles of incorporation
Q:
Star Inc. has restricted its budget for developing new products to $20,000. It automatically vetoes a proposed product if the product scores poorly on the factor of budget during the screening process. In this case, such a factor is known as a _____ factor.
A. Level Four
B. surrogate
C. culling
D. groupware
Q:
Which of the following is an example of a groupware that can be used to aid the process of combining team members' ratings of new product concepts in a full screening project?
A. MSSQL
B. Lotus Notes
C. Outlook
D. Citrix
Q:
Which of the following is the most common means of combining the ratings of individual team members in a full screening project?
A. Calculating averages or mean
B. Factor analysis
C. Conjoint analysis
D. Perceptual maps
Q:
Which of the following is considered to be a commercial success factor by the Industrial Research Institute Scoring Model?
A. Competencies or skills
B. Raw materials or components supply
C. Manufacturing capability
D. Proprietary position
Q:
Which of the following methods of combining an individual team member's ratings involves dropping the highest and lowest ratings before averaging?
A. Sensitivity testing
B. Factor analysis
C. Olympic method
D. Profiling method
Q:
Which of the following is a technical success factor of the Industrial Research Institute Scoring Model?
A. Proprietary position
B. Raw materials or components supply
C. Market need
D. Customer strength
Q:
The factors at _____ have answers or at least answers that can be estimated better than the factors at higher levels.
A. Level One
B. Level Two
C. Level Three
D. Level Four
Q:
The likelihood of commercial accomplishment on Level Two of the scoring model assesses:
A. whether the firm can create something that will do what its customers want.
B. whether the firm has the resources to develop the product.
C. whether product prototypes can be used to judge real-time market expenses.
D. whether a product can be sold profitably.
Q:
In the absence of accurate present value data, the scoring model relies upon _____.
A. opinions
B. factor analysis
C. market testing
D. surrogates
Q:
With reference to the source of scoring model factors, which of the following factors will be considered at Level Two?
A. Net present value
B. Sales
C. Internal rate of return
D. Likelihood of technical accomplishment
Q:
With reference to the source of scoring model factor, the net present value will be a factor on Level _____.
A. One
B. Two
C. Three
D. Four
Q:
A single best factor on which the scoring model can be based and which covers both technical and commercial accomplishments and considers all direct and indirect costs and benefits can be termed as the _____.
A. net present value
B. affordability factor
C. internal rate of return
D. capability index
Q:
Which of the following firms is most likely to employ a formal full screening of product concepts?
A. A small firm that is not involved in much new product work
B. A packaged goods firm whose development process is rather nontechnical
C. A firm that has the ability to market its product and is aware of the technical feasibility of its products
D. A firm that is facing major issues of technical feasibility in the new product development process
Q:
Those firms that bypass the full screen:
A. are generally larger in size.
B. are generally involved with new product work.
C. tend to have a highly technical development process.
D. are more likely to do a more complete concept test.
Q:
Which of the following is an objective of full screening?
A. To add the thoughts of potential users to the set of market data collected
B. To provide data for the product innovation charter
C. To generate pro-forma financials
D. To encourage cross-functional communication
Q:
Which of the following is most likely to help managers in screening hundreds or even thousands of new product concepts in a year?
A. Reinventing the wheel when a concept similar to one that has been rejected comes up again later
B. Bypassing the full screen to begin technical development
C. Maintaining a record of rejected concepts
D. Cancelling concepts that are unacceptable, but possibly worthwhile
Q:
If a concept passes the full screen, _____.
A. it enters the concept development stage
B. the next phase in the new products process is development
C. the product innovation charter for the concept is developed
D. it undergoes concept testing
Q:
The primary purpose of the full screen is to:
A. estimate the feasibility of technical and commercial accomplishments.
B. finalize the overall marketing plan for the product.
C. develop and test a prototype of the product.
D. obtain the information required for developing the product innovation charter.
Q:
The full screen should generally be carried out just prior to:
A. developing the product innovation charter.
B. the onset of technical development.
C. concept testing.
D. launching the product.
Q:
When used as a full screen technique, the Analytic Hierarchy Process (AHP) gathers managerial judgment and expertise to identify the key criteria in the screening decision.
Q:
The Analytic Hierarchy Process (AHP) is a purely statistical technique used to identify the correlation of specified factors with past successes and failures.
Q:
According to the screening model developed by Robert Cooper, must-meet criteria include market attractiveness.
Q:
According to the screening model developed by Robert Cooper, the must-meet criteria are designed to weed out the bad projects and function as high hurdles for the new product project.
Q:
Scoring models are advantageous because of their use of weights as the weightings are not judgmental.
Q:
A key role for the product innovation charter is to point out exclusions that are sometimes called culling factors.
Q:
Customer strength is one of the commercial success factors in the Industrial Research Institute Scoring Model.
Q:
Raw materials or components supply is one of the technical success factors included in the Industrial Research Institute Scoring Model.
Q:
The list of factors used in the scoring model for the full screen should be reduced as much as possible and always kept fluid.
Q:
With reference to the source of scoring model factors, "margins on sales" is a surrogate factor considered in Level Two.
Q:
A full-screen discourages cross-functional communication.
Q:
Concepts that pass the full screen are "rank-ordered" by attractiveness so that the firm has some options on standby when an ongoing project stalls or is canceled.
Q:
If a concept passes the full screen, the next phase in the new products process is the product launch phase.
Q:
The full screen conducted for a concept identifies the feasibility of technical accomplishment and feasibility of commercial accomplishment of the concept.