Marketing: Real People, Real Choices, 7e

Chapter 8 Create the Product

1) A(n) ________ is defined as a good, service, idea, or some combination of these that satisfies
consumer or business customer needs through the exchange process.
A) private brand
B) service variability
C) core product
D) product
E) innovation
Answer: D

2) Which of the following is an example of a good?

A) a massage
B) a handbag
C) a medical examination by a doctor
D) an idea for a new television show
E) dry cleaning
Answer: B

3) Which of the following adjectives best describes a product that would be classified as a good?
A) nonperishable
B) convenient
C) disposable
D) tangible
E) heterogeneous
Answer: D

4) ________ are a form of product that are essentially intangible.

A) Innovations
B) Services
C) Brands
D) Consumer products
E) Supplements
Answer: B

5) A product has three distinct layers. The most basic level is the ________, which consists of all the
benefits the product will provide for consumers or business customers.
A) actual product
B) augmented product
C) core product
D) innovation
E) brand
Answer: C

6) A product has three distinct layers. The second layer is the ________, which is the physical good or
delivered service.
A) actual product
B) augmented product
C) core product
D) innovation
E) brand
Answer: A

7) The ________ is the actual product such as a refrigerator plus delivery, installation, financing, and
warranty.
A) actual product
B) value network
C) augmented product
D) potential product
E) core product
Answer: C

8) Generally, products are either ________ or ________.

A) consumer products; business-to-business products
B) consumer products; nondurable products
C) industrial products; business-to-business products
D) industrial products; services
E) shopping products; convenience products
Answer: A
9) Which of the following is the best example of a durable good?
A) a bag of cat food
B) a refrigerator
C) a bottle of nail polish
D) a package of lightbulbs
E) detergent
Answer: B

10) Which of the following is the best example of a nondurable good?

A) a dishwasher
B) a book shelf
C) a freezer
D) a newspaper
E) a file cabinet
Answer: D

11) Which of the following statements about durable goods is true?

A) Durable goods are more likely than perishable goods to involve low-involvement decisions.
B) The information search is quicker for durable goods than it is for nondurable goods.
C) Consumers purchasing durable goods are likely to use habitual decision making.
D) Product evaluation is more likely to take place for nondurable goods than for durable goods.
E) Durable goods provide a benefit over a long period of time.
Answer: E

12) We consume ________ in the short term rather than the long term.
A) unsought products
B) specialty products
C) raw materials
D) durable goods
E) nondurable goods
Answer: E
13) We are more likely to purchase ________ under conditions of high involvement and ________
under conditions of low involvement.
A) durable goods; nondurable goods
B) nondurable goods; durable goods
C) staples; impulse products
D) impulse products; staples
E) emergency products; unsought products
Answer: A

14) ________ include convenience products, shopping products, specialty products, and unsought
products.
A) Specialty services
B) Consumer products
C) Line extensions
D) Industrial products
E) Component products
Answer: B

15) A(n) ________ is typically a nondurable good or service that consumers purchase frequently with
a minimum of comparison and effort.
A) specialty product
B) MRO product
C) shopping product
D) convenience product
E) unsought product
Answer: D

16) Which of the following is the best example of a convenience product?

A) a silk scarf
B) a subscription to a magazine
C) a gallon of milk
D) a lawn mower
E) a CD player
Answer: C
17) Marketers classify convenience products as ________.
A) staples, impulse products, and emergency products
B) specialty products, shopping products, and unsought products
C) core products, actual products, and augmented products
D) generic products and branded products
E) attribute-based products and price-based products
Answer: A

18) Which type of product is a basic or necessary item that is available almost everywhere?
A) emergency product
B) staple
C) impulse product
D) shopping product
E) unsought product
Answer: B

19) When we need a(n) ________, price and product quality may be irrelevant to our purchase
decision.
A) emergency product
B) staple
C) impulse product
D) shopping product
E) unsought product
Answer: A

20) A(n) ________ is a good or service for which consumers will spend time and effort gathering
information on price, product attributes, and product quality.
A) impulse product
B) homogeneous product
C) shopping product
D) convenience product
E) emergency product
Answer: C
21) In business-to-business e-commerce, consumers can use ________ to shop more efficiently. These
programs find sites selling a particular product and may also provide information on competitors'
prices.
A) MRO agents
B) augmenting agents
C) cookies
D) screening agents
E) intelligent agents
Answer: E

22) ________ have unique characteristics that are important to buyers at almost any price.
A) Specialty products
B) Staples
C) Impulse products
D) MRO products
E) Unsought products
Answer: A
Diff: 2 Page Ref: 223
Skill: Concept
Objective: 8-2 Classify products

23) Customers usually know a good deal about ________ and are loyal to specific brands.
A) specialty products
B) homogeneous products
C) impulse products
D) MRO products
E) emergency products
Answer: A
24) ________ are consumer products for which a consumer either has little awareness or interest until
a need arises. These products require a lot of advertising, personal selling, and other marketing efforts.
A) Specialty products
B) MRO products
C) Unsought products
D) Shopping products
E) Staples
Answer: C

25) ________ is the category of business-to-business products that refers to the products an
organization uses in its daily operations.
A) Raw materials
B) Component parts
C) Equipment
D) Processed materials
E) MRO products
Answer: C

26) Heavy equipment, which includes items such as buildings and robotics, is also referred to as
________.
A) component parts
B) capital equipment
C) accessory equipment
D) operating supplies
E) specialized services
Answer: B

27) In terms of business-to-business products, computers and printers are examples of ________.
A) component parts
B) capital equipment
C) accessory equipment
D) operating supplies
E) specialized services
Answer: C

28) MRO products are goods that businesses use for ________.
A) management, research, and order-processing
B) marketing, relationship-building, and operation
C) maintenance, research, and organization
D) maintenance, repair, and operation
E) marketing, research, and organization
Answer: D

29) For the business market, a multipurpose absorbent used to clean up any type of spills would be an
example of a(n) ________.
A) repair product
B) operating supply
C) maintenance product
D) restoration product
E) consumer product
Answer: C
30) For a veterinarian's office, the paper used to print payment receipts is an example of a(n)
________.
A) repair product
B) operating supply
C) maintenance product
D) component part
E) raw material
Answer: B

31) In the business market, products of the fishing and agricultural industries purchased to use in a
finished product are examples of ________.
A) component parts
B) accessory equipment
C) processed materials
D) MRO products
E) raw materials
Answer: E
32) ________ are manufactured goods or subassemblies of finished items that organizations need to
complete their own products.
A) Component parts
B) Accessory equipment materials
C) Processed materials
D) MRO products
E) Raw materials
Answer: A

33) The Federal Trade Commission says that a product must be entirely new or changed significantly
to be called new and that a product may be called new for only ________ months.
A) two
B) three
C) six
D) ten
E) twelve
Answer: C

34) Marketers classify innovations based on their ________.

A) degree of newness
B) costs to manufacture
C) prices
D) degree of tangibility
E) contribution margins
Answer: A

35) A ________ is a modification to an existing product.

A) technical innovation
B) continuous innovation
C) discontinuous innovation
D) commercial innovation
E) dynamically discontinuous innovation
Answer: B
36) A knockoff is a ________.
A) company that uses a me-too strategy for its promotion
B) company that uses comparative advertising
C) new product that is so radically different from anything on the market that it has difficulty moving
out of the introduction stage of its product life cycle
D) product that is unbranded
E) new product that copies, with slight modifications, the design of an original product
Answer: E

37) A consumer doesn't have to learn anything new to use a(n) ________.
A) dynamically continuous innovation
B) dynamically continuous new product
C) discontinuous new product
D) continuous innovation
E) discontinuous innovation
Answer: D

38) A ________ is a pronounced modification to an existing product that requires a modest amount of
learning or change in behavior to use it.
A) dynamically continuous innovation
B) nonradical innovation
C) competitive innovation
D) continuous innovation
E) discontinuous innovation
Answer: A

39) Consumers must engage in a great amount of learning to use a ________ because no similar
product has ever been on the market.
A) dynamically continuous innovation
B) nonradical innovation
C) competitive innovation
D) continuous innovation
E) discontinuous innovation
Answer: E
40) The first phase of the new-product development process is ________.
A) problem recognition
B) product concept screening
C) idea generation
D) product concept development
E) business analysis
Answer: C

41) In the ________ phase of new-product development, marketers use a variety of sources to come up
with a potentially new product that would benefit customers and be compatible with the company
mission.
A) idea generation
B) problem recognition
C) perceptual mapping
D) positioning strategy
E) product screening
Answer: A

42) Marketers would be most likely to use a focus group in which stage of new product development?
A) idea generation
B) problem recognition
C) business analysis
D) positioning strategy
E) product adoption
Answer: A

43) In the ________ of the new-product development phase, marketers estimate the technical and the
commercial success of an idea for a new product.
A) problem recognition
B) product concept development and screening
C) idea generation
D) commercialization
E) technical development
Answer: B

44) In the new-product development process, a description of the features a product will have and the
benefits those features will provide a customer is called a ________.
A) product idea
B) product concept
C) product image
D) product proposal
E) product movement
Answer: B

45) Burger King developed a new french fry to compete with McDonald's fry--considered the world's
best. Burger King's specifications included that the crunch would last for seven or more chews. The
product failed because consumers did not like the fry as much as McDonald's fry. Burger King did not
________ the idea for both technical and commercial value.
A) test market
B) advertise
C) screen
D) promote
E) style
Answer: C

46) Marketers estimate ________ when they determine whether anyone is likely to buy a new product.
A) pricing points
B) distribution costs
C) commercial success
D) technical success
E) creative success
Answer: C
47) Once managers of The Grecian Urn have decided on their product concept and marketing strategy,
they can evaluate the business attractiveness of the proposal in the ________ stage of the new-product
development process.
A) business feasibility
B) feasibility study
C) business analysis
D) product acceptance
E) technical development
Answer: C

48) The business analysis for a new product begins with ________.
A) idea generation
B) problem recognition
C) assessing how the new product will fit into a firm's total product mix
D) perceptual mapping
E) identifying the distribution channel for the product
Answer: C

49) During which stage of new-product development will management most likely consider whether
the new product will cannibalize sales of the company's existing products?
A) idea generation
B) marketing strategy development
C) business analysis
D) product concept development
E) test marketing
Answer: C

50) Once a new product or service passes the business analysis phase, it moves into what phase?
A) concept development
B) technical development
C) market testing
D) strategy development
E) product proposal
Answer: B
51) During the technical development phase of the new product development process, a physical
version of the product is developed; it is called a ________.
A) test market
B) focus group
C) business analysis
D) product concept
E) prototype
Answer: E

52) The need to apply for a patent would most likely arise during which phase of new product
development?
A) business analysis
B) technical development
C) test marketing
D) strategy development
E) product proposal
Answer: B

53) One of the advantages of test marketing is ________.

A) the low cost
B) the ability to keep information from falling into competitors' hands
C) the opportunity to survey prospective customers
D) the ability to evaluate a product and its marketing program before commercialization
E) the opportunity to sell existing products to a core customer base
Answer: D

54) Bonneville Communications is concerned about test marketing its new device. Which of the
following is NOT a disadvantage of test marketing that would likely concern Bonneville
Communications?
A) Test marketing costs can be high.
B) Test markets give competitors a peek at the company's promotional strategy.
C) Test marketing allows time for competitors to gain advantages.
D) People who are surveyed tend to tell less than the truth.
E) Test marketing does not guarantee success.
Answer: D

55) The last stage in the new-product development process is ________.

A) commercialization
B) business analysis
C) idea generation
D) concept testing
E) product concept development
Answer: A

56) Introducing a new product into the market is called ________.

A) technical development
B) new product development
C) experimenting
D) commercialization
E) marketing development
Answer: D
57) Which of the following costs is most likely associated with the commercialization stage of new-
product development?
A) implementing trade promotion plans for channel members
B) paying groups of target consumers for product feedback
C) determining the product's planned price, distribution, and marketing budget
D) developing a prototype of the product
E) identifying target markets
Answer: A

58) ________ is the process by which a consumer or business customer begins to buy and use a new
good, service, or idea.
A) Commercialization
B) Product testing
C) Product adoption
D) Diffusion
E) Positioning
Answer: C
59) Diffusion refers to ________.
A) the promotion used to support products throughout their product life cycle
B) the second stage of the market segmentation process
C) the methodology used for evaluating new product ideas
D) the way the use of a product spreads throughout a population
E) the selection of opinion leaders to encourage product acceptance
Answer: D

60) Change happens quickly when a process reaches the moment of critical mass, which is called the
________.
A) adoption point
B) diffusion point
C) innovation point
D) trial point
E) tipping point
Answer: E

61) The first step in the adoption process is ________.

A) product evaluation
B) awareness
C) problem recognition
D) evaluation
E) interest
Answer: B

62) Marketers may conduct a massive advertising campaign, called a ________, to educate consumers
about a new product.
A) media blitz
B) diffusion network
C) trial market
D) test market
E) tipping point
Answer: A
63) Marketers are primarily striving to generate customer ________ when they use a teaser
advertisement created to give prospective customers just enough information about a new product to
make them curious.
A) confirmation
B) interest
C) evaluation
D) adoption
E) impulse purchasing
Answer: B

64) In which stage of the consumer's adoption of a new product does the purchase actually take place?
A) awareness
B) adoption
C) interest
D) tipping point
E) evaluation
Answer: B

65) A(n) ________ is a purchase made on the spur of the moment without any planning or search
effort.
A) unsought product
B) commodity
C) impulse purchase
D) emergency product
E) shopping product
Answer: C

66) The last stage in the product adoption process is ________.

A) awareness
B) adoption
C) interest
D) confirmation
E) evaluation
Answer: D

67) Unlike innovators, early adopters ________.

A) compose the smallest of the adopter categories
B) have greater concern for social acceptance
C) have stronger physiological needs than others in the population
D) are light media users
E) are more worldly than the rest of the population
Answer: B

68) Which of the following statements about the adopter categories is true?
A) More than 50 percent of the population is classified as late majority adopters.
B) Early adopters are risk aversive.
C) Early majority adopters are typically middle class and like to buy established products.
D) Innovators are a much larger group than laggards.
E) Late majority adopters are typically unconcerned about social acceptance.
Answer: C

69) ________ are the last in the population to adopt a new product.
A) Laggards
B) Late majority adopters
C) Innovators
D) Impulse buyers
E) Dawdlers
Answer: A

70) ________ are typically lower in social class than other adopter categories and are bound by
tradition.
A) Early adopters
B) Early majority
C) Late majority
D) Laggards
E) Impulse buyers
Answer: D
71) Which of the following is NOT identified as one of the five characteristics of innovations that
affect the rate of adoption?
A) relative advantage
B) tangibility
C) observability
D) trialability
E) compatibility
Answer: B

72) ________ is the degree to which a consumer perceives that a new product provides superior
benefits.
A) Compatibility
B) Complexity
C) Relative advantage
D) Comparability
E) Tangibility
Answer: C

73) ________ is the extent to which a new product is consistent with existing cultural values, customs,
and practices.
A) Compatibility
B) Complexity
C) Relative advantage
D) Comparability
E) Tangibility
Answer: A

74) ________ is the degree to which consumers find a new product or its use difficult to understand.
A) Compatibility
B) Complexity
C) Relative advantage
D) Comparability
E) Tangibility
Answer: B

75) ________ is how visible a new product and its benefits are to others who might adopt it.
A) Compatibility
B) Observability
C) Relative advantage
D) Comparability
E) Tangibility
Answer: B

76) The ________ for a guest paying for a night's stay at a hotel is rest and sleep.
A) generic product
B) core product
C) value-deliverable product
D) augmented product
E) actual product
Answer: B
77) The ________ for a guest paying for a night's stay at a hotel is the use of a bed, bathroom, towels,
dresser, light, and closet.
A) actual product
B) core product
C) value-deliverable product
D) customized benefit
E) augmented product
Answer: A

78) The ________ for a guest paying for a night's stay at a hotel would include express checkout and
superb room service.
A) actual product
B) value network
C) augmented product
D) potential product
E) core product
Answer: C

79) Which of the following products would most consumers classify as a shopping product?
A) a subscription to a the Wall Street Journal
B) a winter coat
C) a box of adhesive bandages
D) a can of soup
E) a pack of gum
Answer: B
Diff: 2 Page Ref: 223

80) Camille was standing in the checkout line at her neighborhood grocery last night when she saw a
display of Hostess Twinkies. She remembered how much she had enjoyed Twinkies as a child, and she
knew she just had to buy a package of Twinkies, even though it was not on her shopping list. For
Camille, Twinkies are an example of a(n) ________.
A) unsought product
B) impulse product
C) staple
D) emergency product
E) MRO product
Answer: B
81) Marissa arrived early for her job interview. She was very excited about the opportunity to
interview for a prestigious position. As she got out of the car, she got a run in her pantyhose. She was
pleased to see a convenience store down the road and went there to purchase a replacement pair of
pantyhose. For Marissa, the pantyhose are an example of a(n) ________.
A) unsought product
B) impulse product
C) staple
D) emergency product
E) MRO product
Answer: D
82) Tony wanted to buy a pair of binoculars but not just any brand. He wanted to buy a pair of Steiner
Nighthunters, just like the pair he had learned about in his newest copy of Peter's Hunt Magazine. He
had to visit five different sporting goods stores before he found this brand. For Tony, the Steiner
Nighthunter is an example of a(n) ________.
A) specialty product
B) staple
C) shopping product
D) convenience product
E) unsought product
Answer: A

83) For an amusement park, concession food trailers, the parking lot, the first-aid building, and the
building where the park's daily receipts are tallied are all examples of ________.
A) MRO products
B) specialty products
C) processed materials
D) equipment
E) convenience products
Answer: D
Diff: 2 Page Ref: 224

84) Harrah's built a large casino in the St. Louis area. In terms of business-to-business products, the
structure that houses Harrah's casino is a(n) ________.
A) accessory equipment
B) specialty product
C) installation
D) component part
E) MRO product
Answer: C
85) At a retail store, the display racks on which clothes are hung, the shelving, and the cash registers
are all examples of ________.
A) accessory equipment
B) shopping products
C) capital equipment
D) component parts
E) MRO products
Answer: A

86) The vehicle jack and other hand tools carried by a truck driver are examples of which type of
business product?
A) repair products
B) operating supplies
C) maintenance products
D) light equipment
E) component parts
Answer: A

87) An Internet company provides other businesses operating on the Internet with various kinds of help
handling distribution bottlenecks, including managing tariffs and exchange rates for international
shipping. This company provides a(n) ________.
A) component service
B) processed product
C) MRO product
D) specialized service
E) MRO service
Answer: D
88) Pepsi-Cola's development of Wild Cherry Pepsi, a cherry-flavored soda, is an example of a
________.
A) dynamically continuous innovation
B) nonradical innovation
C) competitive innovation
D) continuous innovation
E) discontinuous innovation
Answer: D

89) Even though most people in the original target market for electric toothbrushes already knew how
to brush their teeth, consumers still had some learning to do in order to make good use of the new
brushing technique. The electric toothbrush is an example of a ________.
A) dynamically continuous innovation
B) nonradical innovation
C) competitive innovation
D) knockoff
E) discontinuous innovation
Answer: A

90) The built-in, fold-down child seats such as those found in Chrysler minivans are an example of a
________.
A) dynamically continuous innovation
B) nonradical innovation
C) competitive innovation
D) continuous innovation
E) discontinuous innovation
Answer: A
91) Prior to the development of the cardiac stent, surgeons used balloons to clear obstructed heart
vessels, but there was no way to ensure the vessels would stay open. The stent is a tiny metal scaffold
that props open the formerly obstructed blood vessel and keeps it from becoming obstructed again.
Surgeons who use the stent had to engage in a great deal of learning to understand its use and its value
in patient care. There was nothing like the stent on the market when it first appeared. The cardiac stent
is an example of a ________.
A) dynamically continuous innovation
B) nonradical innovation
C) competitive innovation
D) continuous innovation
E) discontinuous innovation
Answer: E

92) ________ occurred when Alton Johnson's fascination with the fruits of Brazil led him to develop
juices with new fruit flavors by Bosa Nova for the American market.
A) Idea screening
B) Idea generation
C) Concept testing
D) Product development
E) Product manufacturing
Answer: B

93) A group of business entrepreneurs who worried about their teenage children drinking and driving
decided there must be some way to approach this problem proactively. They came up with an idea for
a pair of blurry goggles. They believed looking through the goggles would simulate what the world
looks like when someone is seriously intoxicated. The first crude pair of blurry goggles developed by
the entrepreneurs to show to prospective customers was ________.
A) a prototype
B) a component part
C) a synergistic model
D) raw material
E) processed material
Answer: A
94) Procter & Gamble introduced its Duncan Hines ready-to-spread frosting in a small geographic
area. When General Foods became aware of the product, it rushed to market its own Betty Crocker
ready-to-spread frosting, which eclipsed the Duncan Hines product introduction. This act illustrates
________.
A) why many companies engage in test marketing
B) one of the problems associated with test marketing
C) why prototypes are so important
D) how idea screening can make a product a commercial success
E) the variety of sources for idea generation
Answer: B

95) Procter & Gamble introduced its Duncan Hines ready-to-spread frosting in a small geographic
area. When General Foods became aware of the product, it rushed to market its own Betty Crocker
ready-to-spread frosting, which eclipsed the Duncan Hines product introduction. General Foods was
able to enter the ________ stage of the new-product development process before Procter & Gamble
could.
A) commercialization
B) business analysis
C) idea generation
D) screening
E) product concept development
Answer: A

96) A website is full of games, activities, music, and stories that appeal to children of all ages. Before a
parent commits to paying the annual membership fee to gain access to the site, she can register for one
free month of use. By accepting the free month's usage, potential adopters move into the ________
stage.
A) interest
B) awareness
C) trial
D) confirmation
E) evaluation
Answer: C
97) Which of the following new products had the greatest degree of observability when it was
introduced?
A) nail clippers designed to prevent ingrown toenails
B) Tylenol PM, a nonprescription sleep aid
C) Dr. Scholl's shoe inserts
D) Splenda sugar substitute
E) rollerblades
Answer: E

98) Traffic in major metropolitan areas is too often brought to a standstill because accident
investigators must painstakingly measure skid marks and other evidence to determine culpability. After
a police chief missed an important meeting because of a wreck investigation, he was pleased to find an
article about a company that markets a new high-tech crash investigation system that shortens the time
required for these investigations by 40 percent. In which stage of the adoption process is the police
chief?
A) evaluation
B) trial
C) interest
D) confirmation
E) adoption
Answer: C

99) One of the reasons given for the success of reality television shows is that the shows appeal to a
cultural bias that real-life drama is preferable to fiction. Americans desire adventure and escapism that
offered them the opportunity for participation but do not require it. In terms of the five characteristics
of innovations that affect the rate of adoption, reality television shows have a high degree of ________
.
A) innovation
B) complexity
C) tangibility
D) divisibility
E) compatibility
Answer: E
100) In terms of the five characteristics of innovations that affect the rate of adoption, the digital
camera would most clearly have a higher degree of ________ than flavored bottled water.
A) compatibility
B) complexity
C) tangibility
D) comparability
E) trialability
Answer: B

101) Marketers classify products based on where and how consumers buy the products.
Answer: TRUE

102) Nondurable goods are more likely than durable goods to be purchased under conditions of high
involvement.
Answer: FALSE

103) The purchase of a shopping product typically involves habitual consumer decision making.
Answer: FALSE

104) The purchase of a specialty product typically involves extended problem solving for the
consumer.
Answer: TRUE

105) Some business customers purchase specialized services that are essential to the operation of an
organization but not part of the production of a product.
Answer: TRUE
106) From a marketing standpoint, a new product is anything that customers perceive as new and
different.
Answer: TRUE

107) The more innovative a new product is, the more quickly it will spread throughout a population.
Answer: FALSE

108) It's usually easier to convince customers to adopt a continuous innovation than a discontinuous
innovation.
Answer: TRUE
Diff: 2 Page Ref: 226
Skill: Concept
Objective: 8-3 Product innovation

109) In the product concept development and screening phase of new-product development, successes
generally occur much more frequently than failures.

110) In the product concept development and screening phase of new-product development, insights
gleaned from Facebook are useful, but won't replace a formal focus group.
Answer: TRUE

111) Business analysis for a new product begins with assessing how the new product will fit the firm's
total product mix.
Answer: TRUE

112) Test marketing is an inexpensive way to predict whether a new product will be a success.
Answer: FALSE

113) Simulated test marketing can help a company determine where in a store a product should be
placed to maximize sales.
Answer: TRUE

114) Commercialization comes in the middle of the new-product development process.

Answer: FALSE

115) Product adoption is the process by which a consumer or business customer begins to buy and use
a new good, service, or idea.
Answer: TRUE
Diff: 1 Page Ref: 233
Skill: Concept
Objective: 8-5 Adoption and diffusion of new products

116) The first step in the product adoption process is to create interest.
Answer: FALSE

117) The evaluation stage for a product is longer for an impulse purchase than it is for a shopping
product.
Answer: FALSE

118) Innovators tend to be better off financially than consumers in other adopter groups.
Answer: TRUE
119) The largest adopter category is the early adopters.
Answer: FALSE
Diff: 2 Page Ref: 237
Skill: Concept
Objective: 8-5 Adoption and diffusion of new products

120) Laggards tend to be in a higher social class than consumers in other adopter categories.
Answer: FALSE

121) The state of Missouri is a product that can be promoted as a great place to locate a new business.
Answer: TRUE

122) The development of a new television shows using the same format as an existing series is an
example of a dynamically continuous innovation.
Answer: FALSE

123) The addition of sugar-free canned fruits to Del Monte's line of canned fruits and vegetables is an
example of a discontinuous innovation.
Answer: FALSE

124) Consumers' perception of relative advantage would help determine the success of a new magazine
targeted to girls between the ages of 14 and 17.
Answer: TRUE

125) Consumers would perceive a ceiling fan as having greater trialability than a new kind of snack
food.
Answer: FALSE