K.K.W.I.E.E.

&R, Nashik-3
Prof. Vilas K. Patil

MCQ, Product Design and Development (UNIT-2)

1. Tools for gathering customer needs is

a) Interviews
b) Questionnaires
c) Be the customer
d) All of the above.
ANSWER: D

2. Direct needs are

a) Basic needs of customers
b) Hidden needs of customers
c) Needs that don’t change with time
d) Needs specific to the customer
ANSWER: A

3. Which one is the type of customer needs?

a) Direct Needs
b) Latent Needs
c) Special Needs
d) All Of the above

ANSWER: D
4. Which one is not the type of customer need model?
a) Kano Model
b) Kolbe’s Model of learning
c) Blackbox Model
d) Zachory Wong’s Model.

ANSWER:D
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

5. segmentation is based on age, sex, education, occupation, annual income

status of a family.
a) Geographic
b) Demographic
c) Behavioral
d) Psychographic

ANSWER: B

6. segmentation is based on parameters like price, sensitivity, usage rate, brand, loyalty.
a) Geographic
b) Demographic
c) Behavioral
d) Psychographic
ANSWER: C

7. segmentation is based on parameters like opinions, lifestyle, attitude, interests.

a) Geographic
b) Demographic
c) Behavioral
d) Psychographic
ANSWER: D

8. customers visit the store regularly.

a) External
b) Internal
c) Discount
d) Impulse
ANSWER: C

9. customers have no specific desire in mind when they visit the store.
a) Wandering
b) Loyal
c) Internal
d) Discount

ANSWER: A
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

10. customers are not having any specific intention to buy a product as per their
need but they purchase as per what appears good at the same time.
a) Discount
b) Loyal
c) Impulse
d) Need based

ANSWER: C

11. customers buy a product with a definite need in mind.

a) Impulse
b) Need based
c) Discount
d) Loyal
ANSWER: B

12. First phase of S-Curve Product performance is

a) Low
b) High
c) Medium
d) None of the above.
ANSWER: A

13. In which physical law of process dominates--

a) First
b) Second
c) Third
d) None of the above

ANSWER:C

14. Long term type of forecast includes time of

a) 10-20 years
b) 2-10 years
c) 1 year or less than 1 year
d) None of the above
ANSWER: A
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

15. Short term type of forecast includes time of

a) 10-20 years
b) 2-10 years
c) 1 year or less than 1 year
d) None of the above
ANSWER: C

16. Medium term type of forecast includes time of

a) 10-20 years
b) 2-10 years
c) 1 year or less than 1 year
d) None of the above

ANSWER: B

17. Interest on loan is an example of

a) Variable cost
b) Fixed Cost
c) Total Cost
d) Average total cost

ANSWER: A

18. Land property tax is an example of

a) Variable cost
b) Fixed Cost
c) Total Cost
d) Average total cost
ANSWER: B

19. In order to install an idea management system, whereby all ideas are directed to a central
point, a company can do any or all of the following:
a) Appoint a respected senior person to be the firm's idea manager.
b) Create a cross-functional idea management committee comprising of people form R&D,
finance, engineering and operations to meet and evaluate new product ideas.
c) Reward employees through formal recognition programs.
d) All of the above are legitimate ways to systematically collect ideas.
ANSWER: D
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

20. The purpose of is to generate a large number of ideas

a) idea screening
b) idea generation
c) concept development and testing
d) marketing strategy development
ANSWER: B

21. The first idea reducing stage is , which helps spot good ideas and drop poor ones as
soon as possible.

a) idea generation
b) idea screening
c) concept development and testing
d) marketing strategy development
ANSWER: B

22. A is a detailed version of the idea stated in meaningful consumer terms

a. product idea

b. product concept

c. product image

d. test market

ANSWER: B

23. A is the way consumers perceive an actual or potential product

a. product idea

b. product concept

c. product image

d. test market

ANSWER: C
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

24. An attractive idea must be developed into a .

a. product idea

b. product concept

c. product image

d. test market

ANSWER: B

25. All of the following are accurate descriptions of activities performed in the idea screening
stage of new product development, except which one?

a. Idea screening helps spot good ideas and drop poor ones as soon as possible.

b. Companies want to go ahead only with the product ideas that will turn into profitable products.

c. Many companies require their executives to write up new product ideas on a standard
form that can be reviewed by a new-product committee.

d. Setting up a toll-free number or Web site for anyone who wants to send a new idea to
the idea manager.
ANSWER: D

26. calls for testing new-product concepts with groups of target consumers.
a. Concept development

b. Concept testing

c. Idea generation

d. Idea screening
ANSWER: B
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

27. entails testing new-product concepts with a target group of consumers to find out
if the concepts have strong consumer appeal.
a. Concept development

b. Concept testing

c. Idea generation

d. Idea screening

ANSWER: B

28. Product concepts are presented to consumers during concept testing in any of the
following ways, except which one?
a. A word or picture description is presented to consumers.

b. A concrete and physical presentation of the concept will increase the reliability of the concept test.

c. Some companies are using virtual reality to test product concepts.

d. Companies are reluctant to use the Web to test product concepts.

ANSWER: D

29. Designing an initial marketing strategy for a new product based on the is called
marketing strategy development.
a. new product idea

b. product concept

c. test market results

d. product prototype

ANSWER: B
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

30. The marketing strategy statement in new product development consists of three parts: ,
, and .
a. idea generation; idea screening; concept development
b. idea generation; concept development; concept testing
c. idea generation; idea screening; idea management
d. target market description; planned product positioning; sales, market share, and
profit goals for the first few years.

ANSWER: D

31. involves a review of the sales, costs, and profit projections for a new product to
find out whether they satisfy the company's objectives.
a. Idea generation

b. Idea screening

c. Business analysis

d. Concept development and testing

ANSWER: C

32. If a product concept passes the , it moves into .

a. business analysis test; product development

b. concept development stage; product development

c. concept testing stage; product development

d. idea generation stage; product development

ANSWER: A
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

33. Once management has decided on a product concept and marketing strategy, it can next
evaluate the of the proposal.

a. product idea portion

b. product development part

c. business attractiveness

d. commercial viability

ANSWER: C

34. All of the following statements are accurate descriptions of the simultaneous product
development approach to new product development, except which one?

a. The simultaneous product development approach is also known as collaborative

product development.

b. Company departments work closely together through cross-functional teams.

c. Companies assemble a team of people from various departments that stay with the new
product from start to finish.

d Companies often pass the new product from department to department in each stage of
the process.

ANSWER: D
 K.K.W.I.E.E.&R, Nashik-3
Prof. Vilas K. Patil

35. All of the following are accurate descriptions of new-product development approaches
used by companies in the commercialization phase of the process, except which one
a. New-product development teams in the simultaneous approach tend to stay with the new
product from start to finish.

b. In the simultaneous approach, top management gives the product development team
general strategic direction but no clear-cut product idea or work plan.

c. In order to get their new products to market more quickly, many companies are adopting a
faster approach called sequential product development.

d. The simultaneous team-based approach can be riskier and more costly than the
slower, more orderly sequential approach.

ANSWER: C