A Firm Must Devote People, Time, and Money to Designing

question 189

Multiple Choice

A firm must devote people, time, and money to designing a new product.Because any firm has only limited resources, it

• A)should wait until its competitors develop a similar product before deciding on devoting resources to its own product development.
• B)is not able to develop more than one new product at a time.
• C)must be certain that the product it chooses to develop will be successful or it will not be able to stay in business.
• D)faces a trade-off, because resources used to develop one product will not be available to develop another product.

---

Definitions:

Market Development

A strategic business process aimed at finding new markets or expanding existing ones for a product or service.

Dunkin' Donuts

A multinational coffee and donut company known for its wide variety of baked goods and beverages.

Doughnuts

A type of fried dough confection or dessert food, typically ring-shaped or without a hole and filled with various sweet fillings or toppings.

Puerto Rico

An unincorporated U.S. territory located in the northeastern Caribbean Sea, known for its rich culture, tropical climate, and historic sites.