Not All Products Fit with All Companies

question 43

Multiple Choice

Not all products fit with all companies. For example, while a concept might appear to be a good idea, it might not fit well with a particular company's image or distribution channels. It is important these ideas be "weeded out" early in the new-product development process. Typically, this takes place during the new-product development:

• A) screening stage.
• B) idea generation stage.
• C) business analysis stage.
• D) test marketing stage.

Distinguish between the sustainable and internal growth rates under various financial conditions.

Analyze the implications of financial planning assumptions on a firm’s operational adjustments.

Understand the importance and limitations of financial planning models.

Define and distinguish between internal growth rate and sustainable growth rate.

---

Definitions:

Proportional

Corresponding in size, degree, or intensity; having a constant relation in degree or number between the parts.

Sales Taxes

Taxes imposed by governmental entities on sales of goods and services, typically collected at the point of sale from the consumer.

Regressive

Referring to a tax system where the tax rate decreases as the taxable amount increases, placing a higher relative burden on lower-income earners.

Progressive

Pertaining to political, social, or economic beliefs favoring or promoting changes, reforms, or innovations.