The major cause of

new product failure

is

A) inappropriate pricing.

B) the lack of a perceived need by the intended user.

C) poor distribution.

D) ineffective advertising.

E) unattractive packaging.

Feedback: Page: 110 Rationale: The leading cause of new product

failure is the absence of a perceived need by the intended end-user.
2 CORRECT Which of the following types of internal records often serves as a
psychological projective technique?

A) Sales files

B) Warranty files

C) Customer complaint files

D) Customer satisfaction studies

E) Customer criticism reports

Feedback: Page: 111 Rationale: A complaint file thus becomes a

psychological projective technique.
3 Participants generating a list of problems with a current problem and
INCORRECT then, grouping and prioritizing them to focus upon the most important
problem among them is called

A) brainstorming.

B) focus groups.

C) projective techniques.
reverse brainstorming.
D)

E) mind mapping.

Feedback: Page: 114 Rationale: In reverse brainstorming, participants

generate a list of key problems with the current product currently in
use, then group and prioritize them to address the most important
problems.
4 The tendency for consumers to over-emphasize minor problems that
INCORRECT are encountered frequently is called

A) spatial proximity.

B) omniscient proximity.

C) temporal proximity.

D) proximate proximity.

E) locational proximity.
 Feedback: Page: 114 Rationale: Omniscient proximity—meaning that
users face a minor problem frequently so it is the first one mentioned.
5 All of the following are ways to seek out the voice of the customer
INCORRECT (VOC), except

A) interviewing.

B) role playing.

C) expert opinion.

D) direct observation.

E) focus groups.

Feedback: Page: 116 Rationale: The third, and most productive, is to

seek out the Voice of the Customer (VOC)—that is, we will ask
household or business/industry customers directly, via interviewing,
focus groups, direct observation, or role playing.
6 All of the following statements are true about focus groups, except it
INCORRECT
A) is a qualitative technique.

B) is relatively inexpensive.

C) depends on in-depth discussions.

D) depends heavily upon the skills of the moderator.

E) is the most common method to get customer inputs.

Feedback: Page: 117 Rationale: The focus group is a qualitative

research technique. Unlike the traditional survey, it depends on in-
depth discussions rather than the power of numbers.
7 The technique where respondents are asked to generate product
INCORRECT descriptions consisting of only a verb and a noun is referred to as

A) situational observation.

B) role playing.

C) focus groups.

D) product function analysis.

E) scenario analysis.

Feedback: Page: 118 Rationale: An alternative way to generate

concepts is based on product function analysis. A product can be
expressed in two words, a verb and an object.
8 Identifying future problems and attempting to solve them is known as
INCORRECT
A) role playing.

B) observation.

C) product function analysis.

 D) problem analysis.

E) scenario analysis.

Feedback: Page: 119 Rationale: Scenario analysis—comes into play

because the ideal problem for us to find is one that customers or end
users do not know they have at this time.
9 CORRECT Which of the following methods is used to anticipate future
environments and the changes that must be made to get there?

A) Observation

B) Dynamic leap studies

C) Scenario analysis

D) Role playing

E) Product function analysis

Feedback: Page: 120 Rationale: In dynamic leap studies, the focus is

on what changes must be made between now and then if the leap
scenario is to come about—the interim time period is the meaningful
focus.
10 High-impact, low-probability events that would present significant
INCORRECT threats or opportunities are called

A) discipline panels.

B) proteams.

C) brainsketching techniques.

D) wild cards.

E) static leaps.