Deck 6: Prototyping and Validating a Solution

Question 1

Which of the following is an entrepreneur doing when he or she validates a customer?

A) Ensuring that the customer will buy the product
B) Ensuring that a solution currently exists
C) Filing for intellectual property protection
D) Conducting preliminary research to determine whether he or she has the right solution
E) None of these are correct.

Answer 1

D

Question 2

A product life cycle is analogous to an industry life cycle, with periods of new product development, market introduction, growth, maturity, and decline.

Answer 2

True

Question 3

_____ product development provides a young firm with a network of expertise that it couldn't afford to hire in-house.

A) Outsourcing
B) Patenting
C) Protecting
D) Networking
E) Testing

Answer 3

A

Question 4

All of the tasks in the product development cycle will take place; however, they often occur in parallel or out of order.

Question 5

Poor execution, time-to-market increases, and missed first-to-market opportunities are some of the problems associated with

A) lack of new product development (NPD) resources.
B) failure to validate customers.
C) failure to protect intellectual property.
D) lack of cheap outsourcing opportunities.
E) failure to identify customers.

Question 6

In the context of product development, which of the following would be good advice?

A) Manage product development teams at a distance.
B) Choose an outsourced partner based solely on price.
C) Keep your research and development (R&D) people far from the customer.
D) All of these are correct.
E) None of these are correct.

Question 7

Identifying a problem that potential customers have may lead to a(n)

A) market niche that has not yet been served.
B) potential improvement in an existing product.
C) opportunity for a breakthrough product or process.
D) A ll of these are correct.
E) None of these are correct.

Question 8

Research has revealed that the principal reason for new product failure is lack of

A) copyrights.
B) good market and industry analysis.
C) inventories.
D) field testing opportunities.
E) patents.

Question 9

When an entrepreneur validates a customer, he or she is assuring them that they are important to the entrepreneur and the entrepreneur's top priority, even if the reality is that the entrepreneur has other customers competing for the same resources.

Question 10

When building a minimum viable product (MVP), it's important to remember that it is the number of times you iterate your MVP that produces a viable product.

Question 11

Poor execution in product development results in missed opportunities to enter the market at a quiet time without immediate competition.

Question 12

An entrepreneur who produces a complete solution and controls all the complements is involved in

A) new market development.
B) technology proprietorship.
C) system integration.
D) vertical architecture.
E) prototype engineering.

Question 13

The product development cycle consists of a series of tasks leading to introduction of the product in the marketplace.

Question 14

The failure rate for new consumer products is somewhere between 10 and 30 percent.

Question 15

A _____ is that version of a product that contains just enough of the functionality and value proposition to attract early adopters who provide feedback and help an entrepreneur develop a final product for the mass market.

A) prototype
B) clinical trial
C) discovery
D) minimum viable product (MVP)
E) complementary product

Question 16

Because entrepreneurs always approach product development in the same systematic way that large companies do, they are affected by the need to address the weakest link in their new product strategy to avoid failure.

Question 17

Which of the following constitutes intellectual property?

A) Copyrights
B) P atents
C) Trade secrets
D) A ll of these are correct.
E) None of these are correct.

Question 18

All of the following are common problems associated with new product development (NPD) EXCEPT

A) complicated products.
B) missed first-to-market opportunities.
C) a decline in team morale.
D) poor execution.
E) time-to-market increases.

Question 19

In entrepreneurial parlance, MVP stands for most valuable player.

Question 20

Each time a new product or service or an improvement to an existing product or service is introduced, it will have gone through a complex design and development process.

Question 21

For software products, giving a _____ to a limited group of early adopters to test functionality and usability will provide important feedback.

A) free sample
B) clinical trial
C) beta version
D) complementary product
E) None of these are correct.

Question 22

Approximately _____ percent of new product development (NPD) projects don't include vital market research.

A) 1 0
B) 25
C) 35
D) 50
E) 75

Question 23

The initial margins for a new line of cosmetics that Kim has developed are slim due to development costs. She is wondering whether they will improve with economies of scale. Which of the following product development trade-offs is Kim dealing with?

A) Product cost vs. development costs
B) Features vs. schedule
C) Features vs. development costs
D) Features vs. product cost
E) Product cost vs. capital expenditures

Question 24

In the context of customer validation and design, which  of the following is NOT asked by the new product checklist?

A) W ill I be the first in the marketplace with this product?
B) D o customers have to change their behavior to adopt this product?
C) C an it be cheaply manufactured?
D) A re there ways to enhance the product over time?
E) Is there a viable business model for this product?

Question 25

Opportunity recognition, feasibility, and prototype development are elements of

A) the industry life cycle.
B) the  product development cycle.
C) the  trademark process.
D) a  new product checklist.
E) successful product realization.

Question 26

Which of the following entrepreneurs would NOT design a physical prototype?

A) Luis, who is planning to open a new restaurant
B) Thelma, who has created a new erasable pen
C) Brayden, who has created a new digital watch
D) Luke, who has created a new cleaner for vinyl records
E) Emma, who has created a new foot massager

Question 27

Poor execution in product development often results from

A) a  preference for speed.
B) n ot enough people doing the work.
C) excessive  market research.
D) s ignificant due diligence.
E) resource scarcity.

Question 28

Which of the following areas of product development would be suitable for outsourcing?

A) Packaging design
B) Parts and material sourcing
C) Materials specifications
D) Operator's and owner's manuals
E) All of these are correct.

Question 29

During the final phase of the product development cycle, an entrepreneur must decide whether to

A) license the technology to another company to develop it into applications.
B) sell the technology.
C) joint venture with another company that has the resources that the entrepreneur needs.
D) start a business to make and distribute the product.
E) All of these are correct.

Question 30

Entrepreneurs have a dilemma of how to perform research and development (R&D) that will result in a high-quality, engineered _____ as quickly and as inexpensively as possible with limited resources.

A) clinical trial
B) launch strategy
C) market test
D) prototype
E) marketing plan

Question 31

Invention disclosure and concept development occur during which task of the product development cycle?

A) Opportunity recognition
B) Prototype development
C) Discovery
D) Feasibility
E) Execution plan

Question 32

Product development trade-offs can be viewed as

A) ways to increase limited resources.
B) an invention strategy.
C) an invention disclosure.
D) part of the patent regulatory requirements.
E) a set of contradictions or conflicts.

Question 33

_____ is defined as the activity that transforms a set of requirements into a format that brings all the elements into an integrated whole or system.

A) Product design
B) Feasibility analysis
C) Prototyping
D) Industry analysis
E) SWOT analysis

Question 34

An issue to consider in the _____ trade-off is to make sure that features that take the most development talent also add the most value for customers.

A) features vs. product cost
B) product cost vs. capital expenditures
C) features vs. schedule
D) features vs. development costs
E) product cost vs. development costs

Question 35

Which of the following is a technical problem that causes product failure?

A) The product definition may be incorrect.
B) The product definition may provide features and benefits that the customer does not value.
C) The problem development team may not spend enough time defining the problem.
D) None of these are correct.
E) All of these are correct.

Question 36

Customer identification or discovery, customer validation and design, and _____ are all categories within the product development cycle.

A) product protection
B) value creation
C) outsourcing
D) product creation
E) business creation

Question 37

Which of the following goes hand in hand with the first stages of design?

A) Invention disclosure
B) Customer validation
C) Feasibility testing
D) All of these are correct.
E) None of these are correct.

Question 38

All of the following are results of resource scarcity EXCEPT

A) bottlenecks .
B) the dumbing down of projects .
C) a decline in team morale .
D) economies of scale.
E) work that must be redone .

Question 39

Which of the following statements about a minimum viable product (MVP) is true?

A) It is always the preferred way to gauge customer interest in a product.
B) It is an excellent way to gauge customer interest for all types of products.
C) The goal of the MVP is to attract initial customers who can guide the direction of the product .
D) It is the least valuable if your product concept adopts incremental innovation.
E) If early adopters don't like your MVP, it typically means that the product is not viable.

Question 40

Which of the following does customer identification or discovery ask?

A) Who is the primary customer?
B) Who is the customer that will pay most?
C) Who is the last customer?
D) All of these are correct.
E) None of these are correct.

Question 41

Briefly discuss the impact of technology on the product life cycle.

Question 42

Briefly discuss the benefits of outsourcing product development for today's entrepreneur. What are some areas of product development that are suitable for outsourcing?

Question 43

What are the eight tasks of the product development cycle? Identify the three main categories these tasks are grouped into.

Question 44

Discuss five common problems that result from a lack of sufficient new product development (NPD) resources.

Question 45

Briefly describe the customer validation process.

Question 46

Briefly describe the launch strategy.

Question 47

What are product development trade-offs? List some of the trade-offs an entrepreneur will face when doing product development.

Question 48

Briefly discuss the failure rate for new consumer products. Identify the various reasons for new product failure.

Question 49

Briefly discuss the design process for both businesses that manufacture products and those that don't. How is the process similar? How is it different?

Question 50

What is a minimum viable product (MVP)? Explain what determines whether an MVP is appropriate when proposing a solution to a customer.