BUSI 406 UNC Final Exam Questions with
complete solution
Product Life Cycle - ANSWER-introduction, growth, maturity, decline
Greater Comparative Advantage means faster growth
new product - ANSWER-a good, service, or idea that is perceived by some
potential customers as new
continuous innovation - ANSWER-a modification of an existing product that sets
one brand apart from its competitors
ex. a new toothpaste flavor
dynamic continuous innovation - ANSWER-a modification of an existing product
that sets one brand apart from its competitors that require minor changes in
customer behavior.
Ex. Bluetooth stethoscope
discontinuous innovation - ANSWER-a totally new product that creates major
changes in the way we live
Ex. Self driving car
Why do new products fail? - ANSWER-No discernible benefits
Poor match between features and customer desires
Overestimation of market size
Incorrect positioning
Price too high or too low
Inadequate distribution
Poor promotion
, Inferior product
New Product Development Process - ANSWER-idea generation, idea screening,
idea evaluation, development, commercialization
channel of distribution - ANSWER-any series of firms or individuals who
participate in the flow of products from producer to final user or consumer
direct channel - ANSWER-a distribution channel in which producers sell directly
to consumers
indirect channel - ANSWER-intermediaries are inserted between the producer
and consumers and perform numerous channel functions
regrouping activities - ANSWER-adjust the quantities or assortments of products
handled at each level in a channel of distribution
Sorting - ANSWER-separating products into grades and qualities desired by
different target markets
Assorting - ANSWER-putting together a variety of products to give a target
market what it wants
traditional channel systems - ANSWER-a channel in which the various channel
members make little or no effort to cooperate with each other
corporate channel systems - ANSWER-corporate ownership all along the
channel
administered channel systems - ANSWER-the channel members informally
agree to cooperate with each other
ex. Miller Beer
contractual channel systems - ANSWER-the channel members agree by contract
to cooperate with each other
complete solution
Product Life Cycle - ANSWER-introduction, growth, maturity, decline
Greater Comparative Advantage means faster growth
new product - ANSWER-a good, service, or idea that is perceived by some
potential customers as new
continuous innovation - ANSWER-a modification of an existing product that sets
one brand apart from its competitors
ex. a new toothpaste flavor
dynamic continuous innovation - ANSWER-a modification of an existing product
that sets one brand apart from its competitors that require minor changes in
customer behavior.
Ex. Bluetooth stethoscope
discontinuous innovation - ANSWER-a totally new product that creates major
changes in the way we live
Ex. Self driving car
Why do new products fail? - ANSWER-No discernible benefits
Poor match between features and customer desires
Overestimation of market size
Incorrect positioning
Price too high or too low
Inadequate distribution
Poor promotion
, Inferior product
New Product Development Process - ANSWER-idea generation, idea screening,
idea evaluation, development, commercialization
channel of distribution - ANSWER-any series of firms or individuals who
participate in the flow of products from producer to final user or consumer
direct channel - ANSWER-a distribution channel in which producers sell directly
to consumers
indirect channel - ANSWER-intermediaries are inserted between the producer
and consumers and perform numerous channel functions
regrouping activities - ANSWER-adjust the quantities or assortments of products
handled at each level in a channel of distribution
Sorting - ANSWER-separating products into grades and qualities desired by
different target markets
Assorting - ANSWER-putting together a variety of products to give a target
market what it wants
traditional channel systems - ANSWER-a channel in which the various channel
members make little or no effort to cooperate with each other
corporate channel systems - ANSWER-corporate ownership all along the
channel
administered channel systems - ANSWER-the channel members informally
agree to cooperate with each other
ex. Miller Beer
contractual channel systems - ANSWER-the channel members agree by contract
to cooperate with each other
