Quiz Article: Why Great New Products Fail - Answers PDF

**[Quiz article: Why Great New Products Fail - answers]** **1. What is a key reason why many innovative products fail?** - a\) Lack of sufficient marketing - b\) Customers don't recognize their value - c\) High production costs - d\) Poor product quality **2. According to the article,...

**[Quiz article: Why Great New Products Fail - answers]** **1. What is a key reason why many innovative products fail?** - a\) Lack of sufficient marketing - b\) Customers don't recognize their value - c\) High production costs - d\) Poor product quality **2. According to the article, what do companies often fail to consider when launching new products?** - a\) Customer desires for variety - b\) How customers make purchasing decisions - c\) The competitive landscape - d\) Production efficiency **3. What are the two main ways customers collect product information?** - a\) Surveys and in-store visits - b\) Reviews and advertisements - c\) Search and inference - d\) Word-of-mouth and influencer marketing **4. What did the example of United Airlines' aircraft purchase illustrate?** - a\) The importance of impulse buying - b\) The length and cost of the search process - c\) The role of branding in B2B sales - d\) The impact of digital marketing **5. What challenge did the British shower manufacturer face?** - a\) Low product quality - b\) Customer disinterest in water pressure - c\) Customers unaware that a better shower was possible - d\) High production costs **6. In which situation are customers more likely to use inference?** - a\) When the product is widely available - b\) When the cost of searching is too high - c\) When the product is a basic necessity - d\) When they trust the product's brand **7. What role does brand play in customer inferences?** - a\) It guarantees product quality - b\) It reduces the need for advertisements - c\) It serves as a proxy for product quality - d\) It indicates the product's popularity **8. Why is search less likely when customers have significant expertise?** - a\) They already know what's best - b\) They rely on friends' recommendations - c\) They prefer new innovations - d\) They have limited access to information **9. How did McDonald\'s use parking lot cleanliness as a cue?** - a\) To reduce their advertising costs - b\) To make customers feel welcome - c\) To infer kitchen cleanliness - d\) To promote environmental sustainability **10. Which of the following is a subconscious factor in customer inference?** - a\) Advertising - b\) Store location - c\) Visual cues like color - d\) Parking lot cleanliness **11. What is a potential downside of relying on inference for product quality?** - a\) It can reduce sales - b\) It is costly to implement - c\) Customers may misunderstand the cues - d\) It decreases brand loyalty **12. What did customers at McDonald\'s infer from the parking lot cleanliness?** - a\) The speed of service - b\) The quality of the food - c\) The cleanliness of the restaurant - d\) The size of the menu **13. What is a risk for companies that innovate without considering customer perception?** - a\) Customers may not understand the innovation - b\) Increased costs in manufacturing - c\) Competition from established brands - d\) Delays in product launch **14. In the "Checker Shadow Illusion" example, what did customers struggle to realize?** - a\) That square A and square B were the same color - b\) The difference in product features - c\) The quality of customer service - d\) The price of the product **15. What is the role of the brand in markets where customers cannot easily search?** - a\) To offer discounts - b\) To provide direct comparisons - c\) To serve as a quality signal - d\) To focus on local advertising **16. How has the Internet impacted the cost of searching for product information?** - a\) It has made searching more expensive - b\) It has reduced the cost of searching - c\) It has limited access to reviews - d\) It has replaced in-store shopping **17. When are customers most likely to conduct thorough searches?** - a\) When buying a low-cost item - b\) When purchasing an everyday product - c\) When buying a high-cost or important product - d\) When they have limited time **18. Why might customers ignore great new products?** - a\) Lack of appealing packaging - b\) Unfamiliarity with the product's features - c\) Limited availability in stores - d\) Overly high price points **19. According to the article, what should companies focus on to increase product success?** - a\) Reducing product costs - b\) Enhancing brand appeal - c\) Helping customers recognize the product's value - d\) Expanding product lines **20. What does the example of the Aqualisa shower system illustrate?** - a\) The need for consistent advertising - b\) The importance of customer awareness of improvements - c\) High costs lead to product failure - d\) Product innovations must be visually appealing **21. When customers can recognize product greatness, companies are more likely to:** - a\) Achieve higher sales - b\) Spend more on marketing - c\) Rely on word-of-mouth - d\) Reduce the product price **22. Which factor can diminish the importance of brand in customer decisions?** - a\) Easy access to product information - b\) High-quality advertising - c\) Strong customer loyalty - d\) Expensive products **23. How do customers often make inferences about unobservable product features?** - a\) By conducting extensive searches - b\) Through reviews from friends - c\) Based on visible cues and brand reputation - d\) By testing the product themselves **24. What is a consequence when customers shift from search to inference?** - a\) They buy more expensive products - b\) They are less likely to recognize product innovations - c\) They increase brand loyalty - d\) They rely solely on price **25. What question can help companies predict if customers will embrace a new product?** - a\) Is the product easy to manufacture? - b\) Are customers motivated to search for a solution? - c\) Is the product appealing to young consumers? - d\) Will the product be featured in stores?