What is meant by commercialization of a new product?
A. Create a product prototype.
B. Test the product and product strategy in the marketplace.
C. Position and offer the product in the marketplace.
D. Identify the new product niche.
E. None of the above.
Answer: (C) The final phase of the new product planning process is known as commercialization. This is when the product is positioned in the marketplace and launched. (A) is incorrect because prototype development occurs in the development phase. The market testing phase (B) of the new product development process involves exposing the actual product to consumers under realistic, yet somewhat controlled, conditions. The new product's niche (D) is defined during the initial strategic phase of the new product development cycle. Finally, (E) is not correct, because there is a correct answer.