CIPM FINAL PAPER 2026 QUESTIONS WITH
ANSWERS GRADED A+
◉ Background. Answer: key ideas from the situation analysis, special
forces such as managerial dicta, reasons for preparing a new PIC.
◉ Focus. Answer: at least one clear technology dimension and one clear
market dimension. They match and have good potential.
◉ Goals-Objectives. Answer: What the project will accomplish, either
short term as objectives or longer term as goals. Evaluation
measurements.
◉ Guidelines. Answer: Any requirements imposed by the situation or by
the upper management. Innovativeness, order of market entry,
time/quality/cost, miscellaneous.
◉ Why is a PIC used?. Answer: NPD is a cross-functional activity and
the PIC helps teams to stay on the same page.
PICs provide common language for members to follow.
Reduces the chances of scope creep and unstable product specifications.
,◉ Crawford and Di Benedetto 2008. Answer: 86% of the best firms had
a PIC as opposed to only 69% for the rest.
◉ Consumer involvement in the NPD. Answer: Involving consumers as
active participants in the NPD process proposed as a superior approach
to arms length research.
Consumers are more empowered so they are increasingly able to
contribute to marketing activities
It can be argued that ideas generated by consumers will more closely
mirror consumer needs.
◉ How can consumers be involved in NPD. Answer: Consumers can
provide valuable input at almost any stage of the NPD process.
There are a variety of approaches to consumer involvement e.g.
crowdsourcing.
Different approaches will vary in their scope and intensity and may be
more useful at different stages of the NPD process.
◉ How can firms encourage consumer involvement?. Answer: Through
financial incentives.
By providing social benefits or rewards.
Promoting the opportunity to gain technology/product knowledge.
Promoting the enjoyment or psychological benefits likely to be gained.
Making clear what the objectives of the project are.
,◉ Risks of consumer involvement. Answer: Increased risk of
information leakage.
A loss of control for the firm which could be dangerous regarding
launch/ commercialisation/ communications.
Increased complexity in the NPD process so how can consumer
involvement be operationalised.
Potentially facilitate minor innovations at the expensive of more radical
opportunities.
◉ Solomon 2013. Answer: Perceived risk is the belief that the product
has potentially negative consequences from using or not using the
product or service.
◉ Types of risk. Answer: Monetary.
Functional.
Physical.
Social.
Psychological.
Time.
◉ Monetary risk. Answer: aka financial risk.
Associated with finances and costs.
Product associations.
, Segment of consumer.
Cost vs value or affordability.
Reduction strategy
◉ Functional risk. Answer: Product performance.
Product risk.
More complex or unfamiliar products.
Consumers affected.
Product types.
◉ Physical risk. Answer: Will the product prevent me from being hurt.
Product and service examples.
Consumers affected.
Safety of regulation.
◉ Social risk. Answer: Perception from others
Product associations
Consumers affected
Importance of reference groups such as Halloween costume.
◉ Psychological risk. Answer: Ego risk.
How the product makes me feel about myself.
ANSWERS GRADED A+
◉ Background. Answer: key ideas from the situation analysis, special
forces such as managerial dicta, reasons for preparing a new PIC.
◉ Focus. Answer: at least one clear technology dimension and one clear
market dimension. They match and have good potential.
◉ Goals-Objectives. Answer: What the project will accomplish, either
short term as objectives or longer term as goals. Evaluation
measurements.
◉ Guidelines. Answer: Any requirements imposed by the situation or by
the upper management. Innovativeness, order of market entry,
time/quality/cost, miscellaneous.
◉ Why is a PIC used?. Answer: NPD is a cross-functional activity and
the PIC helps teams to stay on the same page.
PICs provide common language for members to follow.
Reduces the chances of scope creep and unstable product specifications.
,◉ Crawford and Di Benedetto 2008. Answer: 86% of the best firms had
a PIC as opposed to only 69% for the rest.
◉ Consumer involvement in the NPD. Answer: Involving consumers as
active participants in the NPD process proposed as a superior approach
to arms length research.
Consumers are more empowered so they are increasingly able to
contribute to marketing activities
It can be argued that ideas generated by consumers will more closely
mirror consumer needs.
◉ How can consumers be involved in NPD. Answer: Consumers can
provide valuable input at almost any stage of the NPD process.
There are a variety of approaches to consumer involvement e.g.
crowdsourcing.
Different approaches will vary in their scope and intensity and may be
more useful at different stages of the NPD process.
◉ How can firms encourage consumer involvement?. Answer: Through
financial incentives.
By providing social benefits or rewards.
Promoting the opportunity to gain technology/product knowledge.
Promoting the enjoyment or psychological benefits likely to be gained.
Making clear what the objectives of the project are.
,◉ Risks of consumer involvement. Answer: Increased risk of
information leakage.
A loss of control for the firm which could be dangerous regarding
launch/ commercialisation/ communications.
Increased complexity in the NPD process so how can consumer
involvement be operationalised.
Potentially facilitate minor innovations at the expensive of more radical
opportunities.
◉ Solomon 2013. Answer: Perceived risk is the belief that the product
has potentially negative consequences from using or not using the
product or service.
◉ Types of risk. Answer: Monetary.
Functional.
Physical.
Social.
Psychological.
Time.
◉ Monetary risk. Answer: aka financial risk.
Associated with finances and costs.
Product associations.
, Segment of consumer.
Cost vs value or affordability.
Reduction strategy
◉ Functional risk. Answer: Product performance.
Product risk.
More complex or unfamiliar products.
Consumers affected.
Product types.
◉ Physical risk. Answer: Will the product prevent me from being hurt.
Product and service examples.
Consumers affected.
Safety of regulation.
◉ Social risk. Answer: Perception from others
Product associations
Consumers affected
Importance of reference groups such as Halloween costume.
◉ Psychological risk. Answer: Ego risk.
How the product makes me feel about myself.
