Developing a Pool of Concepts as Candidates for New Products

question 42

Multiple Choice

Developing a pool of concepts as candidates for new products is the __________ stage of the new-product process.

• A) open innovation
• B) screening and evaluation
• C) product development
• D) new-product strategy development
• E) idea generation

---

Definitions:

Prompt Payment Discount

A discount offered to buyers for paying their invoices early, encouraging faster payments.

Pledged

Assets or collateral that a borrower offers to a lender to secure a loan, which the lender may seize if the loan is not repaid.

Default Risk

The risk of loss to a lender from the borrower’s failure to pay the full amount due including interest and principal.

Commercial Paper

An unsecured, short-term debt instrument issued by corporations, typically used for the financing of accounts receivable, inventories, and meeting short-term liabilities.