Chapter 1

Question 1

6 categories of new product

Answer 1

1. New-to-the-world
2. new-to-the-firm
3. Additions to existing product lines
4. Improvements and revisions to existing products
5. Repositioning
6. Cost reductions

Question 2

terms/terminology

Question 3

process innovation vs. product innovation

Question 4

strategic element of product development

Question 5

new product process

Answer 5

process that takes the new product idea through concept development, evaluation, development, launch, and post-launch

Question 6

product innovation charter

Answer 6

A strategy for new products that ensures that the team develops products in line with firm objectives and marketplace opportunities.

Question 7

product portfolio

Answer 7

A way to access which new products would be the best ones to add to the existing line, given financial and strategic objectives

Question 8

PIC terminology, what is PIC

Answer 8

Product Innovation Charter (PIC) helps the team identify opportunities and focus efforts. Without the strategic direction provided by the PIC, the firm’s attempt at product development will be unfocused.