Fitbit the Pedometer Is Getting Kicked Up a Notch with the the New

question 135

Multiple Choice

Fitbit
The pedometer is getting kicked up a notch with the new Fitbit device. The Fitbit is a $99 motion-detecting sensing device that can measure the user's activity even when asleep. It digitally records the distance a user walks or runs, right down to the number of steps, and calories burned. The device wirelessly sends data to its Web site, fitbit.com, giving users minute-by-minute details. Users can add consumption information at the Web site, allowing an accurate picture of calorie consumption and expenditures. Unlike other devices, like the Nike + iPod Sport Kit that monitors walking and running and sells for $29 or the Zeo Personal Sleep Coach that records brainwaves while the user is sleeping and sells for $399, the Fitbit combines both functions. The first-time Fitbit setup isn't very easy for users, but once over that hurdle, it's relative easy to use.
-Refer to Fitbit. The company marketing the Fitbit does not currently market a product like this. Which of the following best represents the category of new product the Fitbit is for this company?

• A) new-to-the-world product
• B) new product line
• C) additions to existing product lines
• D) repositioned product
• E) incremental product.

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Definitions:

Monopoly Power

The exclusive control by one company over the entire supply of goods or services in a particular market or industry.

Relevant Market

The market in which a particular product or service competes, considering factors like geography, product substitutability, and consumer preferences.

Market Division

An illegal agreement between competitors to split a market into sections where each party restricts its operations to certain geographic areas or customer segments, to reduce competition.

Heavy Equipment

Refers to large and heavy-duty vehicles designed for construction tasks, most notably earthwork operations.