1. Most new products are accepted by the market, despite failing tomatch or maximize customer requirements..

   True

   False

2. New product development always tries to achieve all of thefollowing goals EXCEPT:

   	a.	Maximize fit with customer requirements
   	b.	Minimize development cycle time
   	c.	Parallel development of tasks
   	d.	Control development costs

3. With a penetration pricing strategy there is only minimum riskeven if the initial price is less than the total cost.

   True

   False

4. The best choice of organization structure type for breakthroughnew product development is  

   	a.	Traditional - (functional)
   	b.	Pure Project
   	c.	Committee
   	d.	Matrix

5. Because services are intangible they are much easier to describeand to develop than the associated product .

   True

   False

6. f a new product is introduced at a very high price

   	a.	Consumers are very sensitive to prices
   	b.	The company must closely monitor costs
   	c.	Competitors will be discouraged
   	d.	Development cost can be recovered

7. A strategy of not attempting to protect an innovation is neverto your advantage in achieving success of a new product.

   True

   False

8. Why is it said that the attributes of disruptive products makethem worthless in mainstream markets?

   		They offer incremental year-by-year improvements
   		They aren't worthless for mainstream markets
   		They typically can't perform at the capacity level or qualitylevel of the established market when introduced
   		They slightly improve existing products

9. A type of faulty decision-making attributable to the relation ofpeople in a meeting (such as a Product Development Team) is called_________