Chapter 6: Product Development Flashcards
Figuring out how profitable a product is
Business Analysis
Sales reduction of a current product caused my the introduction of their new product
Cannibalization
Occurs when consumers believe one product has more values than other products in its category
Competitive Advantage
The process by which customers accept and purchasing products
Consumer-Adoption Process
Asking consumers for their reaction for verbal descriptions and rough models of a potential product
Concept Test
Getting ideas from a large group of people online
Crowdsourcing
Occurs when a products sales and profits decreases
Decline Stage
How a product is adopted and spead
Diffusion
Technology that displaces current technology or creates a new industry
Disruptive Technology
Consumers that purchase and use a product soon after its been introduced.
Early Adoptors
A product that is popular for a short amount of time
Fad Product
Consumers that gather information and spend a significant time deciding compared to innovators and early adopters.
Early Majority
Products that come in and out of favor with consumers
Fashion Product
Product experiences increases in sales, profits, and competition
Growth Stage
Products that take a long time for others to see the benefits or has poor infrastructure
High-Learning Products
Product concepts are created
Idea Generation
Determines if an idea fits within the new-product strategy
Idea Screening
Adopts products almost immediately after its launch
Innovators
Launching products into the market
Introduction Stage
Loyal consumers that will purchase a product till it is discontinued
Laggards
Relys’ on other for their information begfore buying it themselves
Late Majority
Focused on profitability and maintaining the firm’s market share
Maturity Stage
Products with identifiable benefits
Low-learning products
New company products that aren’t new to the market
New-Category Entries
Creating, testing, and launching a new product
New-Product Development (NPD)
Determines which direction a firm takes when developing a product
New-Product Strategy Development
Inventions never seen in the market
New-to-the-market products
Based in a foreign country
Offshore
Creating an idea through external and internal ideas
Open Innovation
When a third-party supplier creates goods, services, or ideas.
Outsource
What a firm offers to consumers
Product
Determines if a good can be produced or offered in such a way the balances needs and profits
Product development stage
Final preparations before a product is available to the market
Product Launch
Stages of a products life
Product Life Cycle (PLC)
Related products created by a firm
Product Line
Products that extend an established product line
Product Line Extentions
Products a company sells
Product Mix
Mock-ups of a good
Prototype
A redesigned product
Revamped Product
Mock shopping that allows marketers to observe participants responses to stimuli
Simulated Test Markets
Introducing the final product to a limited market in order to gage sales
Test Marketing
How fast a product launches
Time to Market
