MKTG 9th Edition by Charles W. Lamb -Test Bank

1. A low failure rate, greater competition, and wide distribution typify the introductory stage of the product life cycle.
a. True
b. False
ANSWER: False
RATIONALE: A high failure rate, little competition, frequent product modification, and limited distribution typify the introductory stage of the product life cycle. The introductory stage of the product life cycle represents the full-scale launch of a new product into the market place. See 11-6:Product Life Cycles
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.06
TOPICS: A-head: Product Life Cycles
Bloom’s: Understand
BUSPROG: Analytic
Product Introduction Stage
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: BWPR9ZFE7ZY0MJ3MR295
QUESTION ID: JFND-GO4G-G3BU-ETTO
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMMN-CC5D-RQJW-CE4U-GAMN-CCSU-N3UG-8YSU-CPMN-GOSU-OQBI-GYSU-1QDG-GAAS-KPTZ-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

2. A period during which sales decrease at an increasing rate signals the beginning of the maturity stage of the product life cycle.
a. True
b. False
ANSWER: False
RATIONALE: A period during which sales increase at a decreasing rate signals the beginning of the maturity stage of the product life cycle. Normally, this is the longest stage of the product life cycle. See 11-6:Product Life Cycles
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.06
TOPICS: A-head: Product Life Cycles
Bloom’s: Remember
BUSPROG: Analytic
Product Maturity Stage
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: CCAUJWEA5J4UQ3BF7298
QUESTION ID: JFND-GO4G-G3BU-ETTZ
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMMD-CFUD-GPDR-GR5D-YPJS-CRSU-KAJS-CESU-E3TZ-GOSU-YQBZ-8RSU-ECBA-CR5U-1C3S-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

3. In the growth stage of the product life cycle, sales typically grow at an increasing rate, many competitors enter the market, and large companies may start to acquire pioneering firms.
a. True
b. False
ANSWER: True
RATIONALE: If a product category survives the introductory stage, it then advances to the growth stage of the life cycle. In the growth stage of a product life cycle, sales typically grow at an increasing rate, many competitors enter the market, and large companies may start to acquire pioneering firms. See 11-6:Product Life Cycles
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.06
TOPICS: A-head: Product Life Cycles
Bloom’s: Understand
BUSPROG: Analytic
Product Growth Stage
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: CPEZKDA01MCYRCCC2069
QUESTION ID: JFND-GO4G-G3BU-ETTS
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMMF-CCHS-NPBT-CO3G-CAJW-CRSS-EA3U-8RSU-KP5D-GOSS-KCMG-GWSU-ECTT-8B1D-E3BZ-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

4. An organized effort to generate many ideas from various sources is important for any firm that wishes to produce a continuing flow of new products.
a. True
b. False
ANSWER: True
RATIONALE: An organized effort to generate many ideas from various sources is important for any firm that wishes to produce a continuing flow of new products. Many new product ideas are necessary to produce one successful new product. See 11-6:Product Life Cycles
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.06
TOPICS: A-head: Product Life Cycles
Bloom’s: Understand
BUSPROG: Analytic
Marketing Management
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: KRCLB6CN5FDPB26G3427
QUESTION ID: JFND-GO4G-G3BU-ETTI
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMJ3-CEHU-1AUG-G3TD-YC3A-GCSU-EPUB-8RSU-RP3S-GOSU-NPBS-CRSU-KC5G-GF1D-QCUD-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

5. 3D printing is a process which is sometimes used to create three dimensional prototypes of a product quickly and at a relatively low cost.
a. True
b. False
ANSWER: True
RATIONALE: The 3D printing is a process which is sometimes used to create three dimensional prototypes quickly and at a relatively low cost. It is used by the R&D or engineering department of a company to develop a prototype of a product. See 11-2:The New-Product Development Process
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.02
TOPICS: A-head: The New-Product Development Process
Bloom’s: Remember
BUSPROG: Analytic
New Product Development Process
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: KWCSCQ9KTLQGF3G4C626
QUESTION ID: JFND-GO4G-G3BU-ETTW
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMJI-8Y4S-GCBW-C31D-O3DD-CESU-CCDD-CRSU-QA3T-GOSU-GP3A-CASU-KP3U-GY4U-N3TS-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

6. Eliminating all nonessential marketing expenses and letting sales decline is one of the successful strategies for marketing products in the decline stage of their life cycle.
a. True
b. False
ANSWER: True
RATIONALE: Some firms eliminate all nonessential marketing expenses and let sales decline as more and more customers discontinue purchasing products that are in the decline stage of their life cycle. It is one of the successful strategies for marketing products in the decline stage of the product life cycle. See 11-6:Product Life Cycles
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.06
TOPICS: A-head: Product Life Cycles
Bloom’s: Remember
BUSPROG: Analytic
Product Decline Stage
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: MAHJPY65T97GC0N1Y604
QUESTION ID: JFND-GO4G-G3BU-EO4N
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMJS-GHHU-YPJU-GJTD-CA5B-GOSU-CAJ1-8RSS-GATS-GOSU-EQDN-GOSU-O3BO-8Y4D-NAJ3-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

7. The use of concept tests during the idea screening stage of the new-product development process reduces the efficiency of screening.
a. True
b. False
ANSWER: False
RATIONALE: Concept tests are often used in the idea screening stage to rate concept (or product) alternatives. They are considered fairly good predictors of success for line extensions. See 11-2:The New-Product Development Process
POINTS: 1
DIFFICULTY: Moderate
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.02
TOPICS: A-head: The New-Product Development Process
Bloom’s: Understand
BUSPROG: Analytic
Product Screening
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: MJJL2K6QPTV2GEFLK333
QUESTION ID: JFND-GO4G-G3BU-EO4B
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMJU-8R3U-Y3DF-CRAS-R3JS-8RSU-NCJO-CRSU-E3MF-GOSU-KCT3-CCSS-CAT3-CR5D-1ATW-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

8. Increasing globalization of markets and competition provides a reason for multinational firms to consider new-product development from a worldwide perspective.
a. True
b. False
ANSWER: True
RATIONALE: Increasing globalization of markets and competition provides a reason for multinational firms to consider new-product development from a worldwide perspective. A firm that starts with a global strategy is better able to develop products that are marketable worldwide. See 11-4:Global Issues in New-Product Development
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.04
TOPICS: A-head: Global Issues in New-Product Development
Bloom’s: Understand
BUSPROG: Analytic
International Marketing
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: NBQCYKSHQYQA00JMQ668
QUESTION ID: JFND-GO4G-G3BU-EO33
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMMR-8RHD-CPTS-GTOS-EPDG-CCSU-K3MF-CESS-NQJ3-GOSS-GQDB-CRSU-GPTS-GHHU-QQJI-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

9. The most important factor in successful new-product introduction is a good match between the product and market needs.
a. True
b. False
ANSWER: True
RATIONALE: The most important factor in successful new-product introduction is a good match between the product and market needs—as the marketing concept would predict. Successful new products deliver a meaningful and perceivable benefit to a sizeable number of people or organizations and are different in some meaningful ways from their intended substitutes. See 11-3:Why Some Products Succeed and Others Fail
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.03
TOPICS: A-head: Why Some Products Succeed and Others Fail
Bloom’s: Remember
BUSPROG: Analytic
New Product Failures
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: RJZZ1ZLW8H9YYLEMD515
QUESTION ID: JFND-GO4G-G3BU-EO3A
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMJZ-8BUG-ECMF-CT1G-G3MB-GRSU-1A31-8YSS-NA3O-GOSU-ECJT-COSU-C3TW-GYAD-Y3MB-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE

10. A new-product strategy describes the characteristics of products an organization wants to offer and the markets it wants to serve.
a. True
b. False
ANSWER: True
RATIONALE: A new-product strategy specifies the roles that new products must play in an organization’s overall plan and describes the characteristics of products the organization wants to offer and the markets it wants to serve. See 11-2:The New-Product Development Process
POINTS: 1
DIFFICULTY: Easy
QUESTION TYPE: True / False
HAS VARIABLES: False
LEARNING OBJECTIVES: MKTG.LAMB.15.11.02
TOPICS: A-head: The New-Product Development Process
Bloom’s: Remember
BUSPROG: Analytic
Product Strategy
DATE CREATED: 5/1/2015 4:21 PM
DATE MODIFIED: 5/26/2015 1:09 AM
CUSTOM ID: CGI: SENWFNTHTMP1LENK3445
QUESTION ID: JFND-GO4G-G3BU-EO4G
QUESTION GLOBAL ID: GCID-E7BW-1TBP-GE5D-1A33-GFTG-KPBW-CA51-4AJI-CJO1-4QJT-CO4N-4CUB-CEHN-4QJS-CA4D-EP3U-GIDI-GWN8-EPRW-EMJ1-GTUD-GCB1-CFTD-CC5F-GYSU-OQJT-CRSS-KPT3-GOSS-ECJU-GASU-CP3S-CC3D-RQMR-E7JI-YT4D-JFNN-4OTI-GO4W-NQNBEE