Question 1

College students desire digital applications.What is false about companies that come out with new apps?
A)most become very rich
B)many experience little or no success
C)the education market makes up only a small slice of the app industry
D)their digital application must compete with close to 3 million apps currently available

Accepted Answer

Most companies that release new apps do not become very rich; in fact, the app market is highly competitive, with many apps experiencing little or no success.

Question 2

Palmer Luckey,Founder of Oculus,launched his product on the crowd funding platform,Kickstarter.Which of the following helps explain Oculus Rift's initial success?
A)The large amount of money he raised on the Kickstarter campaign
B)The engaged group of 9,500 backers who sent in money
C)The reputation he raised on his earlier products
D)The experienced individuals who showed an interest in working for the company

Accepted Answer

The engaged group of 9,500 backers who sent in money helped explain Oculus Rift's initial success because they provided financial support and helped to create a buzz around the product.

Question 3

If a college student is making a purchasing decision,it is unlikely that he or should would be interested in this type of product.
A)digital-based products
B)technology-based products
C)entertainment-based products that have been around for many years
D)products that connect one electronic device to another

Accepted Answer

College students are typically interested in the latest technology, digital products, and devices that connect with each other. Entertainment products that have been around for many years might not appeal as much to them due to the availability of newer, more engaging forms of entertainment and technology.

Question 4

Palmer Luckey offered the prototype of his Oculus Rift as a "do-it-yourself" kit so others could make a similar system.

Accepted Answer

Palmer Luckey initially offered the Oculus Rift prototype as a "do-it-yourself" (DIY) kit through a Kickstarter campaign, allowing backers and enthusiasts to build their own virtual reality headset.

Question 5

The missing piece of the puzzle that helps explain Oculus Rift's success was the 9,500 bankers who enjoyed communicating with each other.

Accepted Answer

Oculus Rift's success is primarily attributed to its innovative virtual reality technology and immersive gaming experiences, not the communication between bankers.

Question 6

When Mark Zuckerberg (founder of Facebook) tried the Oculus Rift designed by Palmer Luckey, he was convinced that the virtual reality headset was “the future.”  He was wearing the headset in a FaceBook office, but he felt as if he was in another universe.  He imagined that he was in an abandoned castle in the mountains with snowflakes falling on him.  He turned his head and found himself staring at an ugly human or animal figure sprouting lava.  His comment was, “Wow, that was pretty awesome.”
-Which of the following is not true of Palmer Luckey?
A)He did not sell the Oculus Rift in stores;instead he sold the headset exclusively on the company's website.
B)His obsession with video games lead to his interest in virtual reality
C)He named his business Oculus and launched his project on the crowd funding platform,Kickstarter
D)He set his funding goal on Kickstarter at $250,000 but ended up raising $2.4 million.

Accepted Answer

Palmer Luckey did sell the Oculus Rift in stores, not exclusively on the company's website. The other statements are true regarding his background and the development of Oculus.

Question 7

Skimming pricing is a long-term pricing approach in which a company charges a low price for a new product to keep out competition and grab market share.

Accepted Answer

Skimming pricing is a strategy where a company charges a high price for a new product initially to maximize profits from segments willing to pay more, before lowering the price over time. It is not about charging low prices to keep out competition.

Question 8

Students use mobile applications primarily for educational purposes.

Accepted Answer

Students use mobile applications for a variety of purposes including socializing, entertainment, and personal interests, in addition to educational purposes.

Question 9

Palmer Luckey's backers were early adopters who enjoyed becoming part of the development process.

Accepted Answer

Palmer Luckey's backers, particularly those who supported the Oculus Rift through its Kickstarter campaign, were indeed early adopters who were interested in being part of the development process of virtual reality technology.

Question 10

The desire for connectivity by college students requires companies to focus on which of the following product characteristics?
A)It has been around for more than ten years
B)Product can connect to a student's smart phone or tablet
C)product is innovative
D)product is similar to competitor's products

Accepted Answer

Product can connect to a student's smart phone or tablet

Question 11

It is no longer true that products must fill an unmet customer need.

Accepted Answer

Products that succeed in the market typically address an unmet customer need, offering a solution or improvement that attracts consumers. While some products may find success through other means, such as novelty or brand strength, addressing an unmet need remains a fundamental principle of product development and marketing.

Question 12

With a few exceptions,companies that do not recognize the importance of offering technology-based,digital-based products will find themselves with few customers.

Accepted Answer

In today's market, digital transformation and technology-based products are critical for meeting customer expectations, enhancing accessibility, and staying competitive. Companies that fail to adapt risk losing relevance and customers to more innovative competitors.

Question 13

Which of following is not a reason Palmer Luckey offered his "do-it-yourself" kit to 9,500 Kickstarter Campaign backers:
A)To let them assemble the virtual reality headgear themselves
B)To bring in a steady stream of needed-cash
C)To solicit feedback from them
D)To engage them as cheerleaders for the company,promoting the product and building brand awareness

Accepted Answer

Palmer Luckey offered his "do-it-yourself" kit primarily to engage the community in assembling the virtual reality headgear, solicit their feedback, and turn them into advocates for the product. The intention was not primarily to bring in cash, but to foster a community around the product.

Question 14

Why would Mark Zuckerberg (CEO of Facebook)pay $3 billion for Oculus?
A)The Oculus Rift competes with Facebook product/services
B)Because Facebook had plenty of cash and could spend it
C)Zuckerberg believed virtual reality is the future and was "awesome"
D)Facebook's users were getting older and he was looking for the next big thing

Accepted Answer

Mark Zuckerberg believed that virtual reality was a transformative technology that could shape the future, and he saw Oculus as a leader in this space, making it a strategic acquisition for Facebook.

Question 15

Which of the following about apps is not true?
A)owners of companies that come out with a super successful app become very rich
B)companies coming out with a new app have to compete with close to 3 million apps currently available
C)The Oculus Rift is an app which is used mainly for entertainment
D)the education market makes up only a small slice of the app industry

Accepted Answer

The Oculus Rift is not an app; it is a virtual reality headset designed for immersive experiences, including gaming and entertainment, not an application you can download on smartphones or tablets.

Question 16

Which of following is true about Palmer Luckey?
A)He built and marketed several unsuccessful products before he came out with the Oculus Rift
B)His obsession with video games lead to his interest in virtual reality
C)He raised more than $5 million from his Kickstarter campaign
D)He was unwilling to share the prototype of the Oculus Rift with anyone before he brought it to market

Accepted Answer

The answer of Which of following is true about Palmer...

Question 17

The most important outcome of Palmer Luckey's Kickstarter campaign was receiving $2.4 million in funding.

Accepted Answer

Palmer Luckey's Kickstarter campaign raised $2.4 million in funding, which was a significant milestone in the development of the Oculus Rift virtual reality headset.

Question 18

A company using cost-based pricing determines the cost of making a product and then sets a price by adding a profit to the cost.

Accepted Answer

Cost-based pricing involves calculating the total costs involved in producing a product or delivering a service and then adding a markup percentage to determine the selling price. This approach ensures that all costs are covered and a profit is made.

Question 19

After Facebook purchased Oculus (and Palmer Luckey was no longer connected with the product)the Oculus team decided to use penetration pricing.

Accepted Answer

After Facebook purchased Oculus, the company did not adopt a penetration pricing strategy; instead, it continued to price its VR headsets in line with or higher than the market average, focusing on building a premium product ecosystem.

Question 20

When Mark Zuckerberg (founder of Facebook) tried the Oculus Rift designed by Palmer Luckey, he was convinced that the virtual reality headset was “the future.”  He was wearing the headset in a FaceBook office, but he felt as if he was in another universe.  He imagined that he was in an abandoned castle in the mountains with snowflakes falling on him.  He turned his head and found himself staring at an ugly human or animal figure sprouting lava.  His comment was, “Wow, that was pretty awesome.”
-How much did Mark Zuckerberg (founder of Facebook)pay for Oculus?
A)Nothing;he backed out of the sale
B)$10 million
C)$3 million
D)$20 million

Accepted Answer

Mark Zuckerberg paid approximately $3 billion for Oculus, not $3 million.

Quiz 11: Operating in a Digital Marketing and Social Networking

College students desire digital applications.What is false about companies that come out with new apps?

Palmer Luckey,Founder of Oculus,launched his product on the crowd funding platform,Kickstarter.Which of the following helps explain Oculus Rift's initial success?

If a college student is making a purchasing decision,it is unlikely that he or should would be interested in this type of product.

Palmer Luckey offered the prototype of his Oculus Rift as a "do-it-yourself" kit so others could make a similar system.

The missing piece of the puzzle that helps explain Oculus Rift's success was the 9,500 bankers who enjoyed communicating with each other.

Skimming pricing is a long-term pricing approach in which a company charges a low price for a new product to keep out competition and grab market share.

Students use mobile applications primarily for educational purposes.

Palmer Luckey's backers were early adopters who enjoyed becoming part of the development process.

The desire for connectivity by college students requires companies to focus on which of the following product characteristics?

It is no longer true that products must fill an unmet customer need.

With a few exceptions,companies that do not recognize the importance of offering technology-based,digital-based products will find themselves with few customers.

Which of following is not a reason Palmer Luckey offered his "do-it-yourself" kit to 9,500 Kickstarter Campaign backers:

Why would Mark Zuckerberg (CEO of Facebook) pay $3 billion for Oculus?

Which of the following about apps is not true?

Which of following is true about Palmer Luckey?

The most important outcome of Palmer Luckey's Kickstarter campaign was receiving $2.4 million in funding.

A company using cost-based pricing determines the cost of making a product and then sets a price by adding a profit to the cost.

After Facebook purchased Oculus (and Palmer Luckey was no longer connected with the product)the Oculus team decided to use penetration pricing.