TechTrician,Inc

question 93

Multiple Choice

TechTrician,Inc.makes a major breakthrough in cell phone technology and design.Their research and development department has created advanced micro-circuitry that is one hundred times more sensitive to cell signals than conventional cell phones.This means that there is almost never a break in cell phone signals even when the caller is several miles from what would be considered "in range" for conventional phones.The problem is that the new technology adds about $100 to the cost of the phone.TechTrician,Inc.must spend a considerable amount of funds to retool in order to produce the new phones.They decide to test market the new phones.The company is located in Los Angeles and several executives believe it would be less costly to run the test market in their own city.However,Bob Brobst,one of the marketing managers,has argued for running at least two test markets;one in Phoenix,AZ,and one in Tulsa,OK.What criterion for test market selection is Bob Brobst using?

• A)representativeness
• B)degree of isolation
• C)control over media
• D)control over distribution
• E)lower costs