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Product Design and Development MCQ

What is the term for what the consumer wants or needs?

Needs of the Consumer

Consumer Needs

Desired Outcome

Desires

Wants

Answer

Correct Answer: Consumer Needs

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What does the term Opportunity mean?

A situation that can lead to greater success

A chance to make money

Literally an opportunity to deliver value with a product

Chance to make a formal proposal

A chance to improve one's situation or skills

Answer

Correct Answer: Literally an opportunity to deliver value with a product

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What can companies target?

Low-cost market

Mass market

Specific niche market

Premium market

Elite market

Answer

Correct Answer: Mass market

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Who can target multiple segments, single or niche segments, and individuals?

Direct response marketing firms

Companies

Direct-mail marketers

PR agencies

Agencies

Answer

Correct Answer: Companies

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What can be done to segment consumers based on how much they use your product?

Light users

Heavy users

No action necessary

Answer

Correct Answer: Heavy users

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What does the term 'Price-Sensitivity' mean?

How stable prices are over time

How responsive buyers are to changes in prices

How much a change in price affects demand

How sensitive consumers are to pricing

Answer

Correct Answer: How sensitive consumers are to pricing

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Consumers are more sensitive to pricing than what?

Promotion-Sensitivity

Amount spent

Product-Sensitivity

Price-Sensitivity

Frequency of purchase

Answer

Correct Answer: Price-Sensitivity

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What type of study is ethnography?

The study of language

The study of art

The study of people and cultures

The study of nature

The study of natural phenomena

Answer

Correct Answer: The study of people and cultures

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What is the study of cultures?

Ethnography

Sociology

Anthropology

Comparative literature

Answer

Correct Answer: Ethnography

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What are customer's attitudes related to?

Purchasing behavior, preference

Overall experience

Loyalty, propensity to return

Satisfaction with service, satisfaction

Satisfaction with the service

Answer

Correct Answer: Purchasing behavior, preference

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Customer's attitudes might be related to what?

Purchasing behavior

Length of visits

Frequency of visits

Satisfaction with the product

Their past experiences with the company

Answer

Correct Answer: Purchasing behavior

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What type of variables are studied in behavioral variables?

The study of people’s mental abilities

The study of people’s physical abilities

The study of people’s attitudes, interests, and opinions

The study of people’s abilities and skills

The study of people’s emotions

Answer

Correct Answer: The study of people’s attitudes, interests, and opinions

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Demographics - what are quantifiable data about a particular population of people?

Ethnicity, religion, etc

Education level, occupation

Religions practiced

Languages spoken

Ages, income, etc

Answer

Correct Answer: Ages, income, etc

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What is the purpose of demographics?

Studying the behavior of a particular population in order to improve public policy

Predicting future trends in a population

Quantifiable data about a particular a particular population of people

Determining what marketing efforts are most effective for a particular population

Answer

Correct Answer: Quantifiable data about a particular a particular population of people

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What are two examples of segmentation?

A list of job titles

All US states

Users age 40–45 with an income over $100k/yr; "a large, identifiable group within a market"

Cross section of all US states

Answer

Correct Answer: Users age 40–45 with an income over $100k/yr; "a large, identifiable group within a market"

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Over what income level do segments come into the market?

$10k/yr

$25k/yr

$50k/yr

$100k/yr

Answer

Correct Answer: $100k/yr

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What is a sub-group of consumers in a market?

Group

Class

Segment

What is an example of a Market Condition?

Anything describing the state of the market into which the product is launching

The state of the economy

A company's ability to meet demand

A situation in which buyers and sellers are not agreeing on the price of a product

A situation in which buyers are more numerous than sellers

Answer

Correct Answer: Anything describing the state of the market into which the product is launching

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How many buyers or sellers might be present at a given market?

Some

Few

All

None

Answer

Correct Answer: All

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What is the total of all buyers and sellers?

Supply

Neither

Price

None

Market

Answer

Correct Answer: Market

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In what discipline is it important to do projects right?

Accounting

Project management

Product planning

Engineering

Software development

Answer

Correct Answer: Product planning

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What is the common way of breaking down product planning and project execution?

Doing Projects Right

Doing Everything at Once

Executing Projects Right

Doing Small Projects First

Planning Projects Right

Answer

Correct Answer: Doing Projects Right

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What does "cadence" mean?

The rate at which something happens

The speed at which something moves

The length of time between beats in a rhythm

Rhythm with which something is developed

The number of times a cycle is repeated

Answer

Correct Answer: Rhythm with which something is developed

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What is the term that refers to the rhythm with which something is developed?

Rhythm

Accent

Patter

Metronome

Cadence

Answer

Correct Answer: Cadence

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What does continuous discovery mean to Apple?

Having a continual "always on" process

Offering new and innovative products

Being open to new ideas

Applying the latest in technology

Constantly developing their App Store

Answer

Correct Answer: Having a continual "always on" process

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What is the process of identifying new products and new product features called?

Strategic Planning

New Product Development

Continuous Discovery

Innovation

Answer

Correct Answer: Continuous Discovery

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Discovery Track and Delivery Track are both what?

Dual-track Development

Single-track Development

Independent Development

Joint-track Development

Answer

Correct Answer: Dual-track Development

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What are the necessary components of a business case?

Business analysis, market research, customer needs, and risks

Analysis of the product or service

Business analysis, market research, feasibility study, and risks

Analysis of the customer, competition, and the market

Financial analysis, market research, costs, timelines, risks, and financial projections

Answer

Correct Answer: Financial analysis, market research, costs, timelines, risks, and financial projections

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What is a platform in the context of product planning?

System design

Communication plan

A communication strategy

Shared technology or production methods

A marketing technique

Answer

Correct Answer: Shared technology or production methods

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What strategy involves planning a series of products based on the same platform?

Product Family Planning

Product Line Planning

Generic Platform Planning

Platform Strategy Planning

Product Platform Planning

Answer

Correct Answer: Product Platform Planning

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What is a product plan made up of?

Marketing goals

Services

Products

Pricing

Sales goals

Answer

Correct Answer: Products

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What is the term that a company may use to describe its multi-year plan?

Corporate Strategy

Financial Plan

Product Plan

Direction

Business Plan

Answer

Correct Answer: Product Plan

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What animal is the symbol of good at doing one thing well?

Tiger

Hedgehog

Eagles

Lion

Lions

Answer

Correct Answer: Hedgehog

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What book helped popularize the concept of hedgehogs and foxes?

The Catcher in the Rye

The Bell Jar

Good to Great

One Hundred Years of Solitude

Answer

Correct Answer: Good to Great

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What can a company gain by building the products that best align with their core competency?

Increased brand recognition

A specific ability, strength, or strategic advantage

A competitive edge in the market

More customers

More efficient operations

Answer

Correct Answer: A specific ability, strength, or strategic advantage

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What is a core competency?

The ability to do a task well

A specific ability, strength, or strategic advantage of a company

The ability to work cooperatively with others

A company's overall strategy

The ability to think quickly and solve problems

Answer

Correct Answer: A specific ability, strength, or strategic advantage of a company

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A company's financial and market standpoint are known as its what?

Environment

Nature

Position

Case

Answer

Correct Answer: Case

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Strategic Arenas was mentioned in what book?

Winning at New Products

Strategy for Business Revolution

The 4 P's of Marketing

The Outsiders

Creativity, Inc.

Answer

Correct Answer: Winning at New Products

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How many activities are in the value chain?

Processes that a firm uses to produce its products

Organization of resources used by a firm

Number of stages in the value chain

Number of steps in the value chain

Set of activities that a firm performs

Answer

Correct Answer: Set of activities that a firm performs

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What book written by Collins and Porras includes the Big Hairy Audacious Goal?

Built To Last

Smart People Move To San Francisco

The 5 Second Rule

The Goalkeeper's Fear

The E-Myth Revisited

Answer

Correct Answer: Built To Last

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What is the acronym P.E.S.T.L.E.?

Provincial Education Steering committee

Physical Exercise Safe Teaching Leaders Environment

A food supplement that claims to improve alertness and focus

Another framework for analyzing markets and industries: Political, Economic, Social, Technological, Legal and Environmental

A pro-life organization

Answer

Correct Answer: Another framework for analyzing markets and industries: Political, Economic, Social, Technological, Legal and Environmental

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What is another name for the framework of analyzing markets and industries?

F.O.R.M

P.E.S.T.L.E.

The Model of Markets and Industries

The Structure of Industry

P.A.R.E

Answer

Correct Answer: P.E.S.T.L.E.

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What are the activities which align company resources with a company's strategy?

Mergers and Acquisitions

Research and Development

Strategic Pipeline Management

Conducting research and development

Developing new products

Answer

Correct Answer: Strategic Pipeline Management

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A company's SWOT is based on what?

Financial Performance, Business Strategy, Competitors

Weaknesses, Opportunities, Threats

Opportunity, Threat, Strength

Strengths, Weaknesses, Opportunities, Threats

Customer Needs, Competitive Strengths, Threats

Answer

Correct Answer: Strengths, Weaknesses, Opportunities, Threats

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Strategy is about doing a different set of activities than other companies, or doing the same activities differently. Operational effectiveness is about how well you do a particular activity; it is more related to efficiency than to strategy. Strategy versus Effectiveness — Effectiveness is compared to Strategy in what article?

Jim Collins ’

Michael Porter ’s

Clayton Christensen ’s

Answer

Correct Answer: Michael Porter ’s

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Strategy is about doing a different set of activities than other companies, or doing the same activities differently. What is operational effectiveness about?

How well you do a particular activity

Effectiveness in executing a plan

Making sure everyone knows what is expected of them

How much money you make

How efficiently you use your resources

Answer

Correct Answer: How well you do a particular activity

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Who wrote about effectiveness versus strategy?

Catherine P. Brehm

Harvard Business Review

Peter Drucker

Michael Porter

Michael E. Porter

Answer

Correct Answer: Michael Porter

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What are the 4 Ps of Marketing?

Product placement promotion and pricing

The production and distribution of the product

Public relations

Personal selling

Answer

Correct Answer: Product placement promotion and pricing

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What is the name of the set of Marketing activities undertaken by a firm?

Advertising Strategy

Marketing Strategy

Public Relations

Sales Strategy

Advertising

Answer

Correct Answer: Marketing Strategy

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What are essential to strategy because you cannot be everything to everyone?

Resources

Trade-offs

Time

Focusing

Flexibility

Answer

Correct Answer: Trade-offs

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To make sure that there are no trade-offs, what is needed?

Leadership

Process

Structure

Strategy

Answer

Correct Answer: Strategy

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Who wrote "Competitive Advantage"?

Michael Porter

Geoffrey Moore

Jim Collins

Gary Hamel

James F. Lawler III

Answer

Correct Answer: Michael Porter

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What is the name of the framework for analyzing competition?

PEST

5 Forces

Competition Analysis Framework

SWOT

Market Segmentation Framework

Answer

Correct Answer: 5 Forces

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What book is Michael Porter's Competitive Strategy?

The Catcher in the Rye

The Communist Manifesto

10lb

The Outsiders

Atlas Shrugged

Answer

Correct Answer: 10lb

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Strategy sets the firm apart from the competition by creating what?

Unique selling proposition

Sustainable competitive advantage

Unique value proposition

Sustainable advantage

Answer

Correct Answer: Sustainable advantage

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What is the term for a set of choices that uniquely positions a firm in its industry?

Format

Structure

Strategy

Positioning

Answer

Correct Answer: Strategy

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Who wrote about competitive strategy?

Mario Andretti

Peter Drucker

George Soros

Michael Porter

Kenneth French

Answer

Correct Answer: Michael Porter

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What are commodities interchangeable with?

Services

Products

Money

Answer

Correct Answer: Products

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What can be unique in the experience economy?

Connections

Unique items

Moods

Experiences

Personalized experiences

Answer

Correct Answer: Experiences

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What is an example of an augmented product?

Accessories

Software

Contracts

Physical products

Warranties

Answer

Correct Answer: Warranties

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What other value-adding sources are included in an augmented product?

Credits

Technical support

Compatibility with other hardware and software

Warranties, service, etc

Answer

Correct Answer: Warranties, service, etc

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What do the products and services of an ecosystem share?

Diversity of life forms

Diversity

Habitat

Some relationship to one another

Symbiosis

Answer

Correct Answer: Some relationship to one another

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What is an example of an ancillary product?

Toilet paper

Bike

IPhone case

Car cleaner

Towel

Answer

Correct Answer: IPhone case

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What type of product is a new smaller version of a Prius?

Hybrid Vehicle

Car

Derivative Product

Automobile

Electric Vehicle

Answer

Correct Answer: Derivative Product

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What is the definition of a derivative product?

A new product which falls into an existing Product Platform

A new product which falls into a completely different Product Platform

A new product which is unique to a company

A new product which has been developed specifically for a certain market

A new product that combines features of existing products

Answer

Correct Answer: A new product which falls into an existing Product Platform

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A new smaller version of what vehicle falls into the existing product platform?

Mustang

Kia Rio

Smart Fortwo

Camaro

Prius

Answer

Correct Answer: Prius

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What type of project involves upgrading or enhancing features but not eliminating previous generations?

Revolutionary Product

Retrofit Product

Incremental Product

Feature Extension

Incremental Improvement

Answer

Correct Answer: Incremental Product

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What are the components which are shared across a product family?

Markets or components

Manufacturing processes or components

Designs or components

Technologies or components

Answer

Correct Answer: Technologies or components

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What is a term used to describe New Product ventures that are less risky than Foundational?

Post-Product

Pre-Product

Fundamental

Venture

Pre-production

Answer

Correct Answer: Fundamental

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What is the term for a radically new product that likely uses an entirely new technology or addresses a new or unfamiliar market?

Fundamentally New Product

Pre-Release Product

Next Generation Product

Innovative Product

Breakthrough Product

Answer

Correct Answer: Fundamentally New Product

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What is a self-contained unit of economic value?

Product

Money

Service

Answer

Correct Answer: Product

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What type of unit is a product?

Child

Self-contained

Assembly

Service

Answer

Correct Answer: Self-contained

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What is another term for "product"?

Unit of economic value

Service

Commodity

Answer

Correct Answer: Unit of economic value

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What is Prototype?

A metal disk with a design on it

A model or example of a proposed solution

An incomplete or unrefined preliminary version of the final product

A computer program designed to simplify the creation of interactive objects

A metal sculpture that is not yet finished

Answer

Correct Answer: An incomplete or unrefined preliminary version of the final product

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What is the term for an incomplete or unrefined preliminary version of the final product?

Pre-release

Prototype

Release Candidate

Alpha

Pre-production

Answer

Correct Answer: Prototype

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What type of research is more commercially and pragmatically focused?

Quantitative Research

Experimental Research

Applied Research

Survey Research

Answer

Correct Answer: Applied Research

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What is the goal of Applied Research?

Fulfilling government requirements

Developing new methods

Solving a real-world problem

Answer

Correct Answer: Solving a real-world problem

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What is the first type of scientific research?

Environmental Research

Clinical Research

Experimental Research

Applied Research

Fundamental Research

Answer

Correct Answer: Fundamental Research

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What are the goals of research?

Facts, insights and conclusions

To develop new methods

To develop new knowledge

To contribute to society

To help people

Answer

Correct Answer: Facts, insights and conclusions

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What is the general meaning of the term "technology"?

The application of scientific knowledge for practical purposes, especially in industry

The use of advanced tools and techniques in the production of goods

The use of modern machines and equipment

The use of new methods of communication

The application of new methods and approaches to solving problems

Answer

Correct Answer: The application of scientific knowledge for practical purposes, especially in industry

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Industrial applications of science are known as what?

Technology

Science

Business

Answer

Correct Answer: Technology

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What is the process of creating and delivering new customer value?

Customer service

Innovation

Replacement

Sales

Retention

Answer

Correct Answer: Innovation

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Innovation is the process of creating and delie-ving what kind of value in the marketplace?

New product value

Reduced costs

Increased efficiency

New customer value

New process value

Answer

Correct Answer: New customer value

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What is the name of the book that contains the definition of product?

The Lean Startup

The Bible

The $100 Startup

The Brand Gap

The Personal MBA

Answer

Correct Answer: The Personal MBA

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Who is responsible for the operation of the production and product delivery?

Operations

Production

Marketing

Product Delivery

Answer

Correct Answer: Operations

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What kind of problem do good product managers try to solve?

Product

Process

Market

Customer

Pricing

Answer

Correct Answer: Market

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Industrial Design is often considered to be encompassing product designers besides what?

Graphic Design

Interior design

Industrial Production

Engineering

Fashion design

Answer

Correct Answer: Engineering

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Industrial Design is sometimes referred to as what?

Product Design

Graphic Design

Industrial Arts

Answer

Correct Answer: Product Design

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Who uses CAD software?

Architects

CAD team or CAD specialist

Engineers

Engineers or Architects

Customers or End Users

Answer

Correct Answer: CAD team or CAD specialist

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What does DFM stand for?

Device Fault Management

Dynamic Finite Element Method

Data Flow Model

Design for Manufacturing

Dynamic Frequency Management

Answer

Correct Answer: Design for Manufacturing

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Design for manufacturing is the practice of what?

Manufacturing friendly

Studying manufacturing processes

Reducing cycle time

Planning for manufacturability

Planning for manufacturing

Answer

Correct Answer: Manufacturing friendly

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What are the engineers known as in school?

The support staff

The science team

The administrative staff

The technical team

The math team

Answer

Correct Answer: The technical team

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What kind of people are in the technical team?

The entrepreneurs

The MBAs

The bean counters

The managers

The nerds

Answer

Correct Answer: The nerds

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What does the research and development team typically do?

Conducting customer surveys

Identifying new technology, performance, or value

Designing new products

Planning and executing product launches

Conducting market research

Answer

Correct Answer: Identifying new technology, performance, or value

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In a product company, the team tasked with identifying new technology, performance, or value and applying these to products is known as what?

Sales

Marketing

Research and Development

Answer

Correct Answer: Research and Development

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What is the primary function of marketing?

To get people to buy a product

To persuade people to buy a product

To create a need and then provide the solution

To understand the market and customers

To create a need and fill it

Answer

Correct Answer: To understand the market and customers

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Who has strategic decision-making authority in the Strategy department?

The CEO

The Executive Committee

The Marketing Team

The CFO

The Product Development Team

Answer

Correct Answer: The Product Development Team

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What is strategy about?

Developing a plan

Making specific choices

Making deductions

Thinking ahead

Determining the best course of action

Answer

Correct Answer: Making specific choices

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Who abuses the term "Lean"?

This term is abused by employees

This term is abused by management

Lean is a methodology that is only effective for large companies

This term is abused in the product world

Answer

Correct Answer: This term is abused in the product world

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What term is abused in the product world?

Kanban

Continuous Delivery

Agile

Lean

Answer

Correct Answer: Lean

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What is the name of the methodology that's used in Silicon Valley to develop new products?

Experimental Design

User Research

Design Thinking

Feature Development

Lean Startup

Answer

Correct Answer: Lean Startup

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What type of values does Agile emphasize?

Being concise, effective, and easily producible

Being adaptive, responsive, iterative, incremental, cross-functional

Being committed to the principle of

Being customer-centric, focusing on quality, responding quickly

Answer

Correct Answer: Being adaptive, responsive, iterative, incremental, cross-functional

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What is the name of the methodology that is primarily defined by the values it emphasizes?

Critical

Agile

Traditional

Waterfall

Rational Unified Process

Answer

Correct Answer: Agile

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What are the phases called in a Stage-Gate development methodology?

Stages

Phases

Development Stages

Milestones

Answer

Correct Answer: Stages

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What is a product development methodology that is mostly non-iterative?

Crystal Method

Rapid application development

Waterfall

Scrum

Answer

Correct Answer: Waterfall

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What does Cooper believe in the stage-gate methodology?

Scientific approach

Rigorous approach

Effective approach

Rigid methodology

Flawed approach

Answer

Correct Answer: Flawed approach

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What kind of structure is Wheelwright and Clark's book about?

Class

Structure

Organization

Team

Answer

Correct Answer: Team

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