Topic how firms develop new products 139 p 240 what

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Topic: How Firms Develop New Products 139. (p. 240) What can go wrong in the market testing phase? Students should demonstrate command of the entire marketing mix, an understanding of consumer behavior and a practical understanding of competitive forces. AACSB: Analytic Blooms: Apply Difficulty: 3 Hard Learning Objective: 11-04 Explain the stages involved in developing a new product or service. Topic: How Firms Develop New Products 140. (p. 241, Ethical and Societal Dilemma 11.1) What are some the ethical issues associated with testing cosmetics on animals? Some ethical issues include: (1) Should firms be allowed to test products on animals even when those products are not designed to improve human health and well-being? (2) Should animals be used in testing at all? (3) Does new product testing of cosmetics harm animals? AACSB: Ethics Blooms: Understand Difficulty: 2 Medium Learning Objective: 11-04 Explain the stages involved in developing a new product or service. Topic: How Firms Develop New Products 141. (p. 241, Ethical and Societal Dilemma 11.1) Animal testing restrictions can cause a number of problems for marketers as they develop new products. What are some marketing opportunities inherent in this situation? Students should identify the opportunities inherent in creating a competitive advantage by NOT testing on animals. There are significant segments that may not be particularly price sensitive if a firm does not test on animals. There are also opportunities in being able to penetrate markets with highly restrictive regulations. AACSB: Ethics Blooms: Apply Difficulty: 3 Hard Learning Objective: 11-04 Explain the stages involved in developing a new product or service.
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Topic: How Firms Develop New Products 142. (p. 240) Carmen is ready to launch her company's new product, a line of chocolate for diabetics, based on her instincts and knowledge from thirty years of marketing. Her staff is encouraging her to delay the launch until test marketing can be done. What are the advantages and disadvantages of each approach? Carmen probably has considerable knowledge and good instincts about what new products will work or not work. By going straight into product launch she can save money, time, and not alert her competitors, giving her more of a first mover advantage. Test marketing, however, provides an opportunity to learn more about consumer behavior and the potential to assess market demand, in addition to the chance to test the planned marketing mix. AACSB: Analytic Blooms: Apply Difficulty: 3 Hard Learning Objective: 11-04 Explain the stages involved in developing a new product or service. Topic: How Firms Develop New Products 143. (p. 242- 244) Laura is about to launch a new product: herself! She is running for a local political office. First- time candidates quickly learn the importance of marketing. She has consulted with various experts, tested her campaign themes and messages with focus groups, and now is ready to do a full-scale product launch. Why is her product launch the most critical step? What will she need to do?
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  • Fall '12
  • Chris
  • Marketing, Product life cycle management

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