NaturalBeauty Inc

question 22

Multiple Choice

NaturalBeauty Inc.is a firm that manufactures a range of herbal cosmetic products under the brand name NaturalBeauty.To improve its odds of developing successful disruptive innovations,the firm listens to its lead customers and identifies product benefits that are not met by the existing cosmetic products in the market.After careful analysis,the firm chooses the most lucrative opportunity and uses an "invent to order" process to develop a new product.In this example,NatureFresh Inc.is using which of the following methods?

• A)reverse innovation
• B)diversification
• C)vertical integration
• D)horizontal integration
• E)market penetration

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Definitions:

Life Cycle

The series of changes in the life of an organism, including birth, growth, reproduction, and death; it can also refer to similar stages in the development of products or organizations.

Entrepreneurial Firms

Businesses that seek to innovate in terms of product, service, market, or business model, typically characterized by risk-taking and proactive initiatives.

Management Challenges

Refers to the various obstacles and issues that managers face when trying to achieve organizational goals.

Personal Traits

Inherent characteristics or qualities that define an individual's behavior, attitude, and personality.