In the summer of 2006, it was announced that the company's Smart car would be offered for sale in the United States. Which global company was responsible for bringing the Smart car to market?

In the summer of 2006, it was announced that the company's Smart car would be offered for sale in the United States. Which global company was responsible for bringing the Smart car to market?

A) Swatch
B) Volkswagen
C) Nissan
D) Ford
E) DaimlerChrysler


Answer: E) DaimlerChrysler

Product problems initially made headlines in 2008 regarding a turbine blade manufactured by Suzlon and financed by John Deere. All of the following problems were encountered by Suzlon except:

Product problems initially made headlines in 2008 regarding a turbine blade manufactured by Suzlon and financed by John Deere. All of the following problems were encountered by Suzlon except:

A) wind energy cracked a turbine blade and broke off a tower in Illinois.
B) cracks were found on more than 60 blades on turbines run by Deere.
C) Suzlon was battling product reliability and durability problems.
D) Suzlon faced a cash crunch.
E) policymakers in many parts of the world supported Suzlon.


Answer: E) policymakers in many parts of the world supported Suzlon.

By definition, a ________ requires a large amount of learning on the part of users and typically creates new markets and consumption patterns.

By definition, a ________ requires a large amount of learning on the part of users and typically creates new markets and consumption patterns.

A) continuous innovation
B) dynamically continuous innovation
C) discontinuous innovation
D) platform-based innovation
E) new and improved innovation


Answer: C) discontinuous innovation

In Chinese markets, Nike had a problem using the "Just Do It" attitude which was not found to be appropriate. Finally, Nike decided to use Chinese athletes in their promotion. This type of adaptation was needed due to:

In Chinese markets, Nike had a problem using the "Just Do It" attitude which was not found to be appropriate. Finally, Nike decided to use Chinese athletes in their promotion. This type of adaptation was needed due to:

A) Chinese do not wear running shoes.
B) ingrained Chinese values which respect authority.
C) Chinese athletes use Nike shoes.
D) "Just do it" in Chinese has a negative connotation.
E) parents do not want their children to see such ads.


Answer: B) ingrained Chinese values which respect authority.

The challenges in bringing the Smart across Atlantic include all of the following except:

The challenges in bringing the Smart across Atlantic include all of the following except:

A) the euro's strength relative to dollar.
B) DaimlerChrysler merger ended.
C) Smart was under the ownership of DaimlerChrysler.
D) Smart was under the ownership of Daimler AG.
E) distribution and promotion critical to a successful U.S. launch.


Answer: C) Smart was under the ownership of DaimlerChrysler.

Which of the following consumer products companies experienced a major product failure in Europe due to inadequate test marketing?

Which of the following consumer products companies experienced a major product failure in Europe due to inadequate test marketing?

A) Procter & Gamble
B) Colgate
C) Kao
D) Unilever
E) Seagram


Answer: D) Unilever

The corporate development team at Virgin evaluates more than a dozen proposals each day from outside and within the company. When assessing new-product ideas, they look for all of the following except:

The corporate development team at Virgin evaluates more than a dozen proposals each day from outside and within the company. When assessing new-product ideas, they look for all of the following except:

A) synergy with existing Virgin products.
B) pricing and return on investment.
C) marketing opportunities.
D) if the idea "uses or abuses" the Virgin brand.
E) aesthetic attributes of competitors products.


Answer: E) aesthetic attributes of competitors products.

The introduction of consumer VCRs in the late 1970s initiated a revolutionized in-home electronic entertainment. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. The VCR's popularity also gave rise to an entirely new retailing concept, the video rental store. What type of innovation did the consumer VCR represent?

The introduction of consumer VCRs in the late 1970s initiated a revolutionized in-home electronic entertainment. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. The VCR's popularity also gave rise to an entirely new retailing concept, the video rental store. What type of innovation did the consumer VCR represent?

A) a continuous innovation
B) a dynamically continuous innovation
C) a discontinuous innovation
D) a comparative innovation
E) none of the above


Answer: C) a discontinuous innovation

The Advanced Photo System (APS) created by Kodak and its partners combines traditional chemical photo processing with digital technology. One benefit of the system is that shutterbugs can choose 3 different print sizes. The APS would best be described as a:

The Advanced Photo System (APS) created by Kodak and its partners combines traditional chemical photo processing with digital technology. One benefit of the system is that shutterbugs can choose 3 different print sizes. The APS would best be described as a:

A) continuous innovation.
B) dynamically continuous innovation.
C) discontinuous innovation.
D) platform-based innovation.
E) new and improved innovation.


Answer: B) dynamically continuous innovation.

After four years of product development, Procter & Gamble recently introduced a new, improved disposable diaper. Pampers Rash Guard diapers are designed to prevent diaper rash and represent the first time a company has made a medical claim for its diapers. What kind of innovation do the new diapers represent?

After four years of product development, Procter & Gamble recently introduced a new, improved disposable diaper. Pampers Rash Guard diapers are designed to prevent diaper rash and represent the first time a company has made a medical claim for its diapers. What kind of innovation do the new diapers represent?

A) platform-based innovation
B) dynamically continuous innovation
C) discontinuous innovation
D) continuous innovation
E) none of the above


Answer: D) continuous innovation

Procter & Gamble recently introduced Pampers Rash Guard. Rash Guard does not represent a new product per se; rather, the diapers are being marketed as an alternative to regular Pampers. What type of innovation do Pampers Rash Guard diapers represent?

Procter & Gamble recently introduced Pampers Rash Guard. Rash Guard does not represent a new product per se; rather, the diapers are being marketed as an alternative to regular Pampers. What type of innovation do Pampers Rash Guard diapers represent?

A) a continuous innovation
B) a dynamically continuous innovation
C) a discontinuous innovation
D) a platform-based innovation
E) none of the above


Answer: A) a continuous innovation

Motorola's failed Iridium venture was a global satellite telephone network designed to allow users to make or receive calls anywhere on the globe using handsets that are somewhat bigger than typical cellular phones. What type of innovation did Iridium represent?

Motorola's failed Iridium venture was a global satellite telephone network designed to allow users to make or receive calls anywhere on the globe using handsets that are somewhat bigger than typical cellular phones. What type of innovation did Iridium represent?

A) a continuous innovation
B) a dynamically continuous innovation
C) a discontinuous innovation
D) a platform-based innovation
E) none of the above


Answer: B) a dynamically continuous innovation

Colgate's Total is a new toothpaste brand whose formulation, imagery, and consumer appeal were designed from the beginning to translate across national boundaries. Which strategy did Colgate use with Total?

Colgate's Total is a new toothpaste brand whose formulation, imagery, and consumer appeal were designed from the beginning to translate across national boundaries. Which strategy did Colgate use with Total?

A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) dual adaptation
E) product innovation


Answer: E) product innovation

Hindustan Lever recently developed a hard candy flavored with natural fruit juice that it sells profitably in India for the equivalent of 1 cent per piece. This is Hindustan Lever's first-ever candy product. What strategy is evident here?

Hindustan Lever recently developed a hard candy flavored with natural fruit juice that it sells profitably in India for the equivalent of 1 cent per piece. This is Hindustan Lever's first-ever candy product. What strategy is evident here?

A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) dual adaptation
E) product invention


Answer: E) product invention

Guidelines which can assist managers in their effort to establish global brand leadership include all of the following except:

Guidelines which can assist managers in their effort to establish global brand leadership include all of the following except:

A) create a compelling value proposition for customers.
B) before taking brand overseas, select name, marks and symbols.
C) make a process template available to all managers.
D) assign specific responsibility for managing branding issues.
E) make a process template for international consumers.


Answer: E) make a process template for international consumers.

The formulation, imagery, and consumer appeal of Colgate's Total brand toothpaste were designed to translate across national boundaries. This new global brand represents which type of product innovation?

The formulation, imagery, and consumer appeal of Colgate's Total brand toothpaste were designed to translate across national boundaries. This new global brand represents which type of product innovation?

A) discontinuous innovation
B) dynamically continuous innovation
C) continuous innovation
D) comparative innovation
E) dynamically discontinuous innovation


Answer: C) continuous innovation

When introduced in the late 1970s, the VCR created new patterns of consumer behavior. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. DVD, a playback only video system, was introduced in the late 1990s. DVD discs contain full-length movies with digital sound in a format that resembles conventional music compact discs. Which of the following most accurately describes the respective degree of newness of these two global products?

When introduced in the late 1970s, the VCR created new patterns of consumer behavior. For example, assuming the user could learn to set the timer, he or she could tape programs to watch at a later time. DVD, a playback only video system, was introduced in the late 1990s. DVD discs contain full-length movies with digital sound in a format that resembles conventional music compact discs. Which of the following most accurately describes the respective degree of newness of these two global products?

A) The VCR is a discontinuous innovation; the DVD is a dynamically continuous innovation.
B) The VCR is a dynamically continuous innovation; the DVD is a discontinuous innovation.
C) The VCR and DVD are both dynamically continuous innovations.
D) The VCR and DVD are both discontinuous innovations.
E) The VCR and DVD are both continuous innovations.


Answer: A) The VCR is a discontinuous innovation; the DVD is a dynamically continuous innovation.

Prior to 2004, Nokia launched different cell phone products in different countries at different times. Nokia also used different advertising images and messages in different countries. Which approach to the world marketplace was Nokia using?

Prior to 2004, Nokia launched different cell phone products in different countries at different times. Nokia also used different advertising images and messages in different countries. Which approach to the world marketplace was Nokia using?

A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) product-communication adaptation
E) product invention


Answer: D) product-communication adaptation

Before Ben & Jerry's launched their ice cream in the United Kingdom, the company conducted extensive research to determine whether the package design was appropriate. The research indicated that British consumers perceived the colors differently than U.S. consumers. The package design was changed accordingly. This type of strategy can be defined as:

Before Ben & Jerry's launched their ice cream in the United Kingdom, the company conducted extensive research to determine whether the package design was appropriate. The research indicated that British consumers perceived the colors differently than U.S. consumers. The package design was changed accordingly. This type of strategy can be defined as:

A) product-communications extension.
B) product extension-communications adaptation.
C) product adaptation-communications extension.
D) product-communication adaptation.
E) product invention.


Answer: B) product extension-communications adaptation.

Campbell's has been marketing soup in Japan for more than 40 years. Early on, Japanese consumers were not receptive to ads featuring the Campbell Kids and the "M'm M'm Good" slogan. This compelled Campbell's to develop ads featuring a talking soup can known as "Mr. Campbell." Campbell's also developed soup varieties for Japan with fish as the main protein source and spices that reflect local preferences. As described here, which of the following strategies has Campbell's used in Japan?

Campbell's has been marketing soup in Japan for more than 40 years. Early on, Japanese consumers were not receptive to ads featuring the Campbell Kids and the "M'm M'm Good" slogan. This compelled Campbell's to develop ads featuring a talking soup can known as "Mr. Campbell." Campbell's also developed soup varieties for Japan with fish as the main protein source and spices that reflect local preferences. As described here, which of the following strategies has Campbell's used in Japan?

A) product-communications extension
B) product extension-communications adaptation
C) product adaptation-communications extension
D) product-communication adaptation
E) product invention


Answer: D) product-communication adaptation