LESSON 3

Question 1

Given characteristics affecting consumer behavior, design marketing efforts to reach consumers

Answer 1

CONSUMER BEHAVIOR

Question 2

Consumer purchases are
influenced strongly by cultural,
social, personal, and psychological
characteristic

Answer 2

Factors affecting consumer behavior

Question 3

Are under cultural factors

Answer 3

Culture, Sub culture, and Social Class

Question 4

Set of basic values, perceptions, wants, and behaviors learned by a member of society from family and
other important institutions.

Answer 4

CULTURE

Question 5

A group of people with shared value systems based on common life experiences and situations.

Answer 5

Sub culture

Question 6

Relatively permanent and ordered divisions in a society whose members share similar values, interests and behaviors

Answer 6

Social Class

Question 7

Are under social factors

Answer 7

Groups and social network
Membership groups
Reference groups
Word-of-mouth influence and buzz marketing
Buzz marketing
Online social communities
Family
Role and Status
Age and Life0cycle stage

Question 8

Two or more people who interact to accomplish individual or mutual goals

Answer 8

Groups & Social networks

Question 9

Membership Groups

Answer 9

Direct influence where a person belongs

Question 10

Reference Groups

Answer 10

Direct or indirect points of comparison or reference

Question 11

Personal words and recommendations tend to be more credible than commercial sources

Answer 11

Word-of Mouth influence and Buzz marketing

Question 12

Enlisting or creating opinion leaders to serve as brand ambassadors to spread word about
company products

Answer 12

Buzz Marketing

Question 13

Blogs, social networking websites, and even virtual worlds – where people socialize or exchange information and opinions

Answer 13

Online Social Communities

Question 14

Most important consumer buying organization in society – role of husband, wife, and children

Answer 14

Family

Question 15

A person belongs to many groups – their position in the group can be defined as a role or status.

Answer 15

Role & Status

Question 16

People change goods/services
bought over lifetime – tastes are often age related.

Answer 16

Age & life cycle stage

Question 17

Are under personal factors

Answer 17

Occupation, Economic Situation,
Lifestyle, Personality

Question 18

this affects the products and services bought.

Answer 18

Occupation

Question 19

Trends in personal income, savings,
and interest rates affect marketing decisions

Answer 19

Economic Situation

Question 20

A person’s pattern of living as expressed in his/her activities, interests, and opinions.

Answer 20

Lifestyle

Question 21

refers to the unique psychological
characteristics that distinguish a person or group

Answer 21

Personality

Question 22

are under Psychological factors

Answer 22

Perception, Belief, Attitudes

Question 23

Process by which people select,
organize, and interpret info to form a meaningful picture of the word.

Answer 23

Perception

Question 24

A descriptive thought that a person has about something

Answer 24

Belief

Question 25

Relatively consistent favorable or unfavorable evaluations, feelings, and tendencies toward an object or idea

Answer 25

Attitudes

Question 26

is one who tries new products before most other consumers.

Answer 26

Early Adoptors

Question 27

They provide feedback to the vendor and help them to refine the product features, design, distribution, and support.

Answer 27

Early Adoptors

Question 28

can also be viewed as a form of testing in the early stages of the product’s life cycle.

Answer 28

Early Adoption

Question 29

Year the iPhone was launched

Answer 29

2007

Question 30

First pricing of iPhone

Answer 30

$600

Question 31

The importance of ___________ is crucial to the diffusion of innovation because they can discover and address issues with novel goods and services before their widespread adoption.

Answer 31

Early Adopters

Question 32

Pillars of Early Adopters

Answer 32

1. Risk Tolerance 2. Innovativeness 3. Social Influence

Question 33

Why do early adopters matter in businesses or startup?

Answer 33

1. Faster feedback 2. Help to create buzz 3. Validation

Question 34

They can offer insightful criticism on how it might be enhanced. This feedback is invaluable for businesses, aiding them in addressing issues with their offerings before public release

Answer 34

Valuable Feedback

Question 35

Early adopters often share their firsthand experiences with novel products and services within their circles, fostering organic growth for your business or startup by generating interest and awareness.

Answer 35

Help to create buzz

Question 36

Their readiness to commit time and money shows prospective investors, business

Answer 36

Validation

Question 37

People frequently spread their enthusiasm for a good product or service when they have used it successfully.

Answer 37

Word-of-mouth marketing

Question 38

Strategies for creating a community of early adopters

Answer 38

1. Identify the target audience 2. Set up a sense of urgency 3. Make the experience your own 4. Provide Value

Question 39

Marketing and outreach activities is customized to the target demographic

Answer 39

Identify the target audience

Question 40

Being ahead of the curve is a common driving force for early adopters.

Answer 40

Set up a sense of urgency

Question 41

offer time-limited discounts, priority access, or other special advantages to elicit a sense of urgency.

Answer 41

Set up a sense of urgency

Question 42

- Early adopters seek exclusivity. - Offer them special material, discounts, or invitations to events to personalize their experience.

Answer 42

Make the experience your own

Question 43

Early adopters are open to taking chances with innovative products, but they also hope for something in return.

Answer 43

Provide Value

Question 44

For the scope of product development, ____ can either be the risk of not meeting performance requirements or not being able to deliver a certain product

Answer 44

Risk

Question 45

can be described as “the possibility of suffering harm or loss due to an undesirable even

Answer 45

Risk

Question 46

generally has the aim of identifying and managing risk in order to be able to deal with it when it occurs through for example eliminating, minimizing or controlling the risk

Answer 46

Risk Management

Question 47

Risk categories in the NPD process

Answer 47

Technical risk Market risk Commercial Risk Organizational Risk

Question 48

an intrinsic risk and can entail a number of sub-sections such as the design of the product, manufacturing technology and intellectual property

Answer 48

Technical Risk/ Technological risk

Question 49

One of the main risk here for example lies with the product not meeting safety and performance requirements in the end after the development process

Answer 49

Technical Risk

Question 50

can include factors such as consumer acceptance and marketing risks, competitor risks and the risks of substitution in the market the firm is competing in.

Answer 50

Market risk

Question 51

Main risks include low acceptance or even rejection of the product in the market or being outperformed by a competitor

Answer 51

Market risk

Question 52

is concerned with the extent to which a product, or rather a product idea, would be financially feasible for the firm developing the product.

Answer 52

Commercial risk

Question 53

It includes factors such as the communication within the firm while striving for the realization of the product as well as the idea acceptance of the new product of different parties of the com

Answer 53

Organizational risk

Question 54

TRUE OR FALSE Launching a new product is an exciting but challenging process that involves many risks and uncertainties

Answer 54

True

Question 55

Ways to managing the risks and uncertainties

Answer 55

1. Identify and prioritize the risks 2. Validate your value proposition and differentiation 3. Plan and execute a lean launch 4. Monitor and measure the results 5. Anticipate and respond the changes

Question 56

- Identify and prioritize the potential risks that could affect your product development, launch, and performance. - Assess the impact of each risk and rank them accordingly. - Then, focus on the most critical and probable risks and devise strategies to mitigate or avoid them.

Answer 56

Identify and prioritize the risks

Question 57

provides a very simple answer to the question: Why should someone buy what you are offering?

Answer 57

Value proposition

Question 58

Use feedback and data to refine your product and marketing messages and align them with your customer segments and personas.

Answer 58

Validate you value proposition and differentiation

Question 59

a launch that minimizes the resources and time spent on launching a new product and maximizes the learning and validation from the market.

Answer 59

A Lean Launch

Question 60

There is a need to monitor and measure the results to evaluate the performance and outcomes of your launch.

Answer 60

Monitor and measure the results

Question 61

By doing this, you can identify the strengths and weaknesses of your launch, learn from your mistakes and successes, and make informed decisions and actions to optimize your product and marketing strategies.

Answer 61

Monitor and measure the results

Question 62

These changes could include customer feedback, market trends, competitor actions, regulatory updates, or technological innovations.

Answer 62

Anticipate and respond to changes

Question 63

By doing this, you can enhance your product's value and relevance and maintain your competitive edge in the market.

Answer 63

Anticipate and respond the changes