The Concept of the Diffusion of Innovation Shows How a Product

question 327

Multiple Choice

The concept of the diffusion of innovation shows how a product "diffuses" or spreads through the population over time. The consumer population is divided into five categories of product adopters based on when they adopt (i.e., first buy) a new product. Each product adopter category has a unique profile. Consumers who are skeptical and with below average social status are called

• A)innovators.
• B)early adopters.
• C)early majority.
• D)late majority.
• E)laggards.

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Definitions:

Science

The systematic study of the structure and behavior of the physical and natural world through observation and experiment.

Social Responsibility

The obligation of organizations to act in ways that benefit society at large, beyond their own financial interests and legal requirements.

Pyramid

A geometric structure with a square or triangular base and sloping sides that meet at an apex, or more broadly, a system or organization structured in hierarchical layers.

Competitive Advantage

Competitive advantage refers to the attributes or conditions that allow a company or country to produce a good or service at a lower price or in a more desirable fashion for customers than competitors.