QUESTION Which product is in a different category of innovation from the others? A) Campbell’s soup label change B) e-book readers C) two-flavor chewing gum D) larger-sized bottled water E) pink-colored hockey gear ANSWER Answer: B Explanation: B) All answer choices except e-book readers are in the continuous innovation category. E-book readers are in […]
QUESTION Patrick has a small retail store. Which item would Patrick definitely NOT sell in such a store? A) chewing gum B) work boots C) fur coats D) burn bandages E) food preservatives ANSWER Answer: E Explanation: E) Patrick’s store is a retail store, which means he sells to the consumer market. Food preservatives […]
QUESTION Which of the following is NOT a discontinuous innovation? A) fiber optics B) iPods C) electric cars D) genetically modified plants E) bar codes and scanners ANSWER Answer: C Explanation: C) Electric cars are an example of a dynamically continuous innovation.
QUESTION Paper, printer toner, and cleaning agents are examples of what category of business product? A) installations B) raw materials C) process materials D) component parts E) supplies ANSWER Answer: E Explanation: E) Paper, printer toner, and cleaning agents are examples of supplies.
QUESTION Which of the following characteristics describes the decline stage of the product life cycle? A) Managers need to worry about expanding the distribution effort. B) There is the huge risk that the product may be rejected in the marketplace. C) Demand for the product may be high. D) Managers scale down relevant inventory, supplies, […]
QUESTION Which product is in a different stage of the product life cycle than the other products? A) Product A: Focus is on reducing costs and instituting efficiencies. B) Product B: Sales are slowing. C) Product C: Competition is growing. D) Product D: Managers are adding staff and building inventory while maintaining product quality. E) […]
QUESTION The purpose of break-even analysis is to find the revenue needed to cover the total cost of making a product. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: The purpose of break-even analysis is to find the break-even point—the point at which sales revenues equal costs; that is, at […]
QUESTION Which of the following is an example of shopping goods and services? A) bottled water B) Ferrari C) towing services D) stocks E) unusual teas ANSWER Answer: D Explanation: D) Stocks come under shopping goods and services: those products purchased after consumers make comparisons.
QUESTION The total product offer, also known as the value package, is all the factors that potential buyers evaluate in a product when considering whether to buy it. Indicate whether the statement is true or false. ANSWER Answer: TRUE Explanation: The total product offer, also known as the value package, is all the factors […]
QUESTION Which of the following is an example of unsought goods and services? A) diamond necklace B) rare coffee beans C) Band-Aids D) fur coat E) acne cream ANSWER Answer: E Explanation: E) Acne cream comes under unsought goods and services: those products consumers are not aware of or interested in.
