Chapter 10 Flashcards
Product
A good/service or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers and is received in exchange for money or some other unit of value
Product Line
A group of products that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same outlets, or fall within a given price range
Product Mix
The number of product lines offered by a company
Consumer Goods
Products purchased by the ultimate consumer
Business goods
Products that assist directly or indirectly in providing products for resale (b2b goods, industrial goods, org. goods)
Convenience Goods
Items that the consumer purchases frequently and with a minimum of shopping efforts
Shopping Goods
Items for which the consumer compares several alternatives on such criterias like price quality or style
Speciality Goods
Items that a consumer makes a special effort to search out and buy
Unsought goods
Items that the consumer either dos not know about or knows about but does not initially want
Production Goods
Items used in the manufacturing process that becoes part of the final product
support goods
Items used to assist in producing other goods and services
Protocol
A statement that , before the product development begins, identifies 1. a well-defined target market 2. specific customer’S needs, wants and preferences and 3. what the product will be and do
New product strategy development
The first stage of the new-product process, providing the necessary focus, structure, approach and guidelines for pursuing innovation
Six Sigma
A means to delight the customer by achieving quality through a highly disciplined process that focuses on developing and delivering near-perfect products and services
Idea generation
DEveloping a pool of concepts as candidates for new products
Screening and evaluation
The stage of the new product process that involves internal and external evaluations of the new product ideas to eliminate those that warrant no further effort
business analysis
The stage of the new-product process that involves specifying the product features and marketing strategy and making financial projections needed to commercialize a product
development
The stage of the new-product process that involves turning the idea on paper into a prototype
Commercialization
The stage of the new-product process that involves positioning and launching a new product in full-scale production and sales
slotting fee
payment a manufacturer makes to place a new item on a retailer’s shelf
failure fee
A penalty payment a manufacturer makes to compensate a retailer for failed sales from its valuable shelf space
Market testing
Exposing actual products to prospective buyers under realistic purchase conditions to see if they will buy
