WPC 480 EXAM QUESTIONS AND ANSWERS
LATEST UPDATE (ALREADY GRADED A+)
CH. 8: A new product often has a high price when it is launched because of a
A. large investment in designing a product while producing small quantities.
B. large investment in designing a product while producing large quantities.
C. large investment in marketing a product while producing large quantities.
D. large investment in marketing a product while producing small quantities.
A. large investment in designing a product while producing small quantities.
A new product often has a high price when it is launched because of a large investment in designing a
product while producing small quantities.
CH. 8: The customers entering the market in the growth stage are primarily
A. late majority.
B. early adopters.
C. technology enthusiasts.
D. laggards.
B. early adopters.
The customers entering the market in the growth stage are early adopters. They make up roughly 13.5
percent of the total market potential.
CH. 8: The key objective for firms during the growth phase is to
A. pursue a harvest strategy.
B. reduce their network effects.
C. stake out a strong strategic position not easily imitated by rivals.
D. invest as many resources as possible in product innovations.
, C. stake out a strong strategic position not easily imitated by rivals.
The key objective for firms during the growth phase is to stake out a strong strategic position not easily
imitated by rivals.
CH. 8: Ira can be categorized under the late majority customer segment. Which of the following
behaviors is he most likely to exhibit?
A. He will be confident in her ability to master any new technology.
B. He will prefer to buy from well-established brands rather than unknown new ventures.
C. He will buy beta versions of new products and technology.
D. He will not rely on endorsements by the early majority or early adopters.
B. He will prefer to buy from well-established brands rather than unknown new ventures.
Ira is most likely to buy from well-established brands rather than unknown new ventures. The late
majority prefers to buy from well-established firms with a strong brand image rather than from
unknown new ventures.
CH 9: Medequip Inc. is a large firm involved in the highly competitive market of high-tech medical
equipment. In this market, smaller firms that focus on research are constantly making new
technological developments. Which of the following approaches would best serve the needs of
Medequip?
A. serial mergers
B. serial acquisitions
C. acquisitions
D. mergers
B. serial acquisitions
Serial acquisitions would best serve Medequip. Large existing firms often engage in serial acquisitions to
maintain a window on the latest technology developments.
CH 9: Icarus Airway's decision to acquire Midas Fuels Inc. proved to be ill-fated because the Icarus
managers overestimated their abilities and skills. They believed that they had the skills to manage
such diversified businesses and create additional shareholder value. However, the acquisition failed to
create the anticipated synergies because the managers' capabilities were restricted to the airline
industry. What does this scenario best illustrate?
A. knowledge race
LATEST UPDATE (ALREADY GRADED A+)
CH. 8: A new product often has a high price when it is launched because of a
A. large investment in designing a product while producing small quantities.
B. large investment in designing a product while producing large quantities.
C. large investment in marketing a product while producing large quantities.
D. large investment in marketing a product while producing small quantities.
A. large investment in designing a product while producing small quantities.
A new product often has a high price when it is launched because of a large investment in designing a
product while producing small quantities.
CH. 8: The customers entering the market in the growth stage are primarily
A. late majority.
B. early adopters.
C. technology enthusiasts.
D. laggards.
B. early adopters.
The customers entering the market in the growth stage are early adopters. They make up roughly 13.5
percent of the total market potential.
CH. 8: The key objective for firms during the growth phase is to
A. pursue a harvest strategy.
B. reduce their network effects.
C. stake out a strong strategic position not easily imitated by rivals.
D. invest as many resources as possible in product innovations.
, C. stake out a strong strategic position not easily imitated by rivals.
The key objective for firms during the growth phase is to stake out a strong strategic position not easily
imitated by rivals.
CH. 8: Ira can be categorized under the late majority customer segment. Which of the following
behaviors is he most likely to exhibit?
A. He will be confident in her ability to master any new technology.
B. He will prefer to buy from well-established brands rather than unknown new ventures.
C. He will buy beta versions of new products and technology.
D. He will not rely on endorsements by the early majority or early adopters.
B. He will prefer to buy from well-established brands rather than unknown new ventures.
Ira is most likely to buy from well-established brands rather than unknown new ventures. The late
majority prefers to buy from well-established firms with a strong brand image rather than from
unknown new ventures.
CH 9: Medequip Inc. is a large firm involved in the highly competitive market of high-tech medical
equipment. In this market, smaller firms that focus on research are constantly making new
technological developments. Which of the following approaches would best serve the needs of
Medequip?
A. serial mergers
B. serial acquisitions
C. acquisitions
D. mergers
B. serial acquisitions
Serial acquisitions would best serve Medequip. Large existing firms often engage in serial acquisitions to
maintain a window on the latest technology developments.
CH 9: Icarus Airway's decision to acquire Midas Fuels Inc. proved to be ill-fated because the Icarus
managers overestimated their abilities and skills. They believed that they had the skills to manage
such diversified businesses and create additional shareholder value. However, the acquisition failed to
create the anticipated synergies because the managers' capabilities were restricted to the airline
industry. What does this scenario best illustrate?
A. knowledge race
