Value Through Products/ Chapter 8

Question 1

what is a product?

Answer 1

Anything that can be offered to a market for attention, acquisition, use or consumption and that might satisfy a need or want

• Tangible?
• Features that provide benefits to the customer
• Value

Question 2

what types of new products are there?

Answer 2

• product replacement (45%) consumers needs and wants change e.g. new iPhone
• additions to existing lines- e.g. wheetabix, oatabix (25%) add to range market research
• new to the world products
• new product lines- e.g. mars ice cream (25%) move into new market that organisation hasn’t targeted before

Question 3

how do you create an innovative culture?

Answer 3

-be accessible
- reward success heavily
-tolerate failure
clear messages about the role and importance of innovation

Question 4

how does the marketing directors organise effectively for new product development?

Answer 4

• encourage teamwork
• improve provision of marketing info to R&D
• learn about technology
• formalise the product development and process

Question 5

how does the senior directors organise effectively for new product development?

Answer 5

• make organisation design changes
• encourage teamwork
• increase resources
• understand marketing importance

Question 6

What is the 8 stage new product development process?

Answer 6

• new product strategy
• idea generation
• screening
• concept testing
• business analysis
• product development
• market testing
• commercialisation
  NEW PRODUCTS

Question 7

what types of concept testing is there?

Answer 7

• techniques
• group discussions
• online market research
• the scenario method

Question 8

what are the key issues in product development ?

Answer 8

• target costing
• time to market
• marketing’s role
• product testing

Question 9

why re brand?

Answer 9

• merger or acquisition, could be combo of names
• desire to create new image/ position in market place
• brand familiarity
• legal problems

Question 10

what are ethical issues in branding ?

Answer 10

1. product safety- genetically modified products
2. planned obsolescence - products not designed to last a long time - what is an acceptable length of time
3. deceptive packaging - occurs when a product appears in an oversized package to create the impression that the consumer is buying more than is the case- labelling can be misleading.