topic 2

• this refers to the different stages a product goes through from introduction to withdrawal

  product life cycle
• this begins at a product's first appearance in the market, when sales start at zero and profits are negative

  introduction
• the more _ the firm, the more likely it will be to launch innovative, _ products

  new-to-the-world
• this is where sales rise rapidly. the profits reach a peak, then they start to decline.

  growth
• this is when the product reaches peak market penetration.

  maturity
• this is where sales fall rapidly and the marketers consider pruning items from the product line to eliminate those that are no longer earning a profit

  decline
• true or false. an entire marketing channel may be eliminated if it does not contribute adequately to profits.

  true
• true or false. as product declines, the marketing manager has high options during the decline stage

  false
• the marketing manager has to _ or _ during decline stage

  postpone the decline, accept the inevitability
• a company divesting approach _ all marketing support from the declining product

  withdraws
• they are the last to adopt a new product, are oriented towards the new products and suspicious of it.

  laggards
• the consumer examines, tests, or tries the product in this process

  product trial
• they choose new products carefully and are viewed as the people to check with

  early adopters
• they are the first to adopt a new product

  innovators
• the process where consumer seeks information and is receptive to learning about the product

  product interest
• the consumer purchases the products and decides to make full and regular use of it

  product adoption
• the consumer considers the product's benefits and decides whether to try it.

  product evaluation
• they adopt a new product just prior to the average person. they are deliberate and cautious

  early majority
• the consumer becomes aware of the product and leads to interest

  product awareness
• they are quite skeptical of the new products but eventually adopt them because of pressure

  late majority
• true or false. most often, companies fail to offer unique benefits

  true
• an important element in the new-product development process is continued evaluation of a new idea's likely _ and _

  profitability, return on investment
• _ must be aware of the new product's features, uses, and advantages

  potential buyers
• stage. as sales increase, management must support the momentum by adjusting the marketing strategy.

  growth
• stage. marketing strat should be designed to attract the segment that is most interested in the product

  introduction
• in _stage. marketers must make sure the _ is running efficiently so that customers orders are processed accurately.

  growth, physical distribution
• _ and _ helps the product to increase sales.

  advertising, word of mouth
• this stage is characterized by intense competition in the market

  maturity
• during _ phase, the producers who remain in the market are like to change their _ and _ efforts.

  maturity, promotional, distribution
• what is typical during maturity stage?

  advertising and dealer-oriented promotions
• the adoption process is the _ through which an individual passes

  mental process
• stage. spending on promotion efforts is usually reduced considerable.

  decline
• usually, a _ has lost its distinctiveness because similar competing products have been introduced.

  declining product
• marketers of _ sometimes spend distribution into global markets.

  mature product
• this is essential for recouping the initial investment

  generate cash flow
• share of customers relates to the percentage of each customer's needs that the firm is meeting.

  increase share of customer
• companies with marginal market share must decide whether they have a reasonable chance to improve their position or whether they should just drop out

  maintain share of market