Regarding the New-Product Development Process

question 96

Multiple Choice

Regarding the new-product development process:

• A) the hypothesis tested is that the new product idea will not be profitable.
• B) a gradual "roll-out" of the product-region by region-allows for more market testing.
• C) concept tests are done before any physical models are produced.
• D) likely ROI should be estimated throughout the process to force the new idea to prove itself.
• E) All of these alternatives are correct.

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Definitions:

Consuming

The act of using goods and services to satisfy needs or wants.

Maximizing Utility

The process of choosing the most satisfying option among available choices based on preferences and constraints.

Marginal Utility

The augmented utility or contentment a person obtains by consuming an extra unit of a good or service.

Smoothie

A thick, smooth drink made from blended raw fruit, vegetables, and sometimes dairy products, typically served cold.