Question 1

GDP does not directly relate to the amount of goods consumers can purchase.

Accepted Answer

A) True 
 B)False

Question 2

What are some of the negative impacts on society due to technological innovation? How would you respond to critics of technological innovation who cite these negative impacts?

Accepted Answer

Production technologies may create pollu...

Question 3

As a result of the rapid pace of innovation:

Accepted Answer

A)   product life cycles have become short.
B)   product development cycles have become significantly longer.
C)   market segmentation has reduced.
D)   product obsolescence has slowed down.E) C) and D)
F) All of the above A

Question 4

The innovation process is often conceived of as a funnel because:

Accepted Answer

A)   most innovative ideas become successful new products.
B)   it decreases the amount of output achievable from a given quantity of labor and capital.
C)   it increases the importance of production economies of scale.
D)   there are many potential new product ideas and only a few make it through the development process.E) All of the above
F) B) and D)

Question 5

Explain how an understanding of the innovation funnel might influence a company's view of research and development.

Accepted Answer

If a company truly understands the innov...

Question 6

If a business discharges untreated chemical waste into the local water bodies of a community,it imposes a negative externality on the community members.

Accepted Answer

A) True 
 B)False

Question 7

Unicorn Medicines Inc.,a pharmaceutical company based in the United States,has its research and development units spread across the globe.Lately,these research and development units have not been receiving adequate financial support.Which of the following is most likely to be the cause for such a situation?

Accepted Answer

A)   Technical innovation leads to lower market segmentation and slower product obsolescence.
B)   Most innovative ideas do not become successful new products.
C)   The product development cycle in the pharmaceutical industry is short.
D)   The cost associated with pharmaceutical research and development is low.E) A) and B)
F) A) and C)

Question 8

Kroters Inc.decides to set up its manufacturing plant near Woodsville,a small community of farmers.Kroters is most likely to create a positive externality for the community members of Woodsville if it:

Accepted Answer

A)   increases its product life cycle based on consumer demand.
B)   sets up an organic farm near Woodsville.
C)   follows the Solow Residual.
D)   reduces the rate of product obsolescence for Woodsville residents.E) None of the above
F) B) and D)

Question 9

Virtual Inc.,a manufacturing company,has recently entered the cell phone industry.This industry is characterized by rapid technological innovations.Which of the following is most likely to be true for Virtual?

Accepted Answer

A)   The life cycle of its cell phones will be very long.
B)   It will face rapid product obsolescence.
C)   It will face low market segmentation in the cell phone industry.
D)   It will have a lower need for product differentiation.E) B) and D)
F) A) and D)

Question 10

Explain how the globalization of markets affects the importance of innovation.

Accepted Answer

The increasing importance of innovation ...

Question 11

Explain the impact of computer-aided design and flexible manufacturing technologies on firms.

Accepted Answer

Computer-aided design and computer-aided...

Question 12

Flexible manufacturing technologies have increased the importance of production economies of scale.

Accepted Answer

A) True 
 B)False

Question 13

If a country's GDP stands at $4,867 billion,it means that the country's _____ is worth $4,867 billion.

Accepted Answer

A)   total annual output
B)   investment on technological innovation
C)   savings with the World Bank
D)   negative variance in budgetE) A) and C)
F) None of the above A

Question 14

The majority of effort and money invested in technological innovation comes from nonindustrial firms.

Accepted Answer

A) True 
 B)False

Question 15

A firm's organizational structure and control systems have no influence on the generation of innovative ideas.

Accepted Answer

A) True 
 B)False

Question 16

Jordan,the CEO of Early Bird Corp.,believes that it is important to focus on the quantity of new product ideas generated rather than the quality of ideas generated.He encourages everyone in the company to come up with product ideas,and those that seem feasible are further developed.According to him,it takes several raw ideas to develop one successful new product.Jordan's views reflect the concept of:

Accepted Answer

A)   innovation adolescence.
B)   innovation diffusion.
C)   innovation readiness.
D)   innovation funnel.E) All of the above
F) B) and C)

Question 17

Electronic waste results from the disposal of technological goods.This is an example of:

Accepted Answer

A)   the Solow Residual.
B)   a negative externality.
C)   a negative variance.
D)   the innovation funnel.E) B) and C)
F) All of the above

Question 18

Why is it important for a company to have a well-defined process for strategically managing its new product development process?

Accepted Answer

In the frenetic race to innovate,many fi...

Question 19

The _____ of an economy is its total annual output as measured by its final purchase price.

Accepted Answer

A)   balance of payment
B)   gross domestic product
C)   cash reserve ratio
D)   net national incomeE) A) and D)
F) All of the above

Question 20

Silk Work Inc.,a manufacturer of silk garments,is planning to replace hand weaving with some modern machines that run on fuel.Which of the following consequences of this measure can be categorized as a negative externality?

Accepted Answer

A)   Increased amount of output achievable from the given quantity of labor
B)   Increase in the quality of the silk garments
C)   Increased pollution as a result of the new technology
D)   Increased need for investment to finance the modernizationE) C) and D)
F) A) and C) C

Exam 1: Introduction

GDP does not directly relate to the amount of goods consumers can purchase.

Correct Answer
verified

What are some of the negative impacts on society due to technological innovation? How would you respond to critics of technological innovation who cite these negative impacts?

Correct Answer
verified
Production technologies may create pollu...
View Answer

As a result of the rapid pace of innovation:

Correct Answer
verified
A

The innovation process is often conceived of as a funnel because:

Correct Answer
verified

Explain how an understanding of the innovation funnel might influence a company's view of research and development.

Correct Answer
verified
If a company truly understands the innov...
View Answer

If a business discharges untreated chemical waste into the local water bodies of a community,it imposes a negative externality on the community members.

Correct Answer
verified

Correct Answer
verified

Kroters Inc.decides to set up its manufacturing plant near Woodsville,a small community of farmers.Kroters is most likely to create a positive externality for the community members of Woodsville if it:

Correct Answer
verified

Virtual Inc.,a manufacturing company,has recently entered the cell phone industry.This industry is characterized by rapid technological innovations.Which of the following is most likely to be true for Virtual?

Correct Answer
verified

Explain how the globalization of markets affects the importance of innovation.

Correct Answer
verified
The increasing importance of innovation ...
View Answer

Explain the impact of computer-aided design and flexible manufacturing technologies on firms.

Correct Answer
verified
Computer-aided design and computer-aided...
View Answer

Flexible manufacturing technologies have increased the importance of production economies of scale.

Correct Answer
verified

If a country's GDP stands at $4,867 billion,it means that the country's _____ is worth $4,867 billion.

Correct Answer
verified
A

The majority of effort and money invested in technological innovation comes from nonindustrial firms.

Correct Answer
verified

A firm's organizational structure and control systems have no influence on the generation of innovative ideas.

Correct Answer
verified

Correct Answer
verified

Electronic waste results from the disposal of technological goods.This is an example of:

Correct Answer
verified

Why is it important for a company to have a well-defined process for strategically managing its new product development process?

Correct Answer
verified
In the frenetic race to innovate,many fi...
View Answer

The _____ of an economy is its total annual output as measured by its final purchase price.

Correct Answer
verified

Silk Work Inc.,a manufacturer of silk garments,is planning to replace hand weaving with some modern machines that run on fuel.Which of the following consequences of this measure can be categorized as a negative externality?

Correct Answer
verified
C

Exam 1: Introduction

GDP does not directly relate to the amount of goods consumers can purchase.

Correct AnswerverifiedShow Answer

What are some of the negative impacts on society due to technological innovation? How would you respond to critics of technological innovation who cite these negative impacts?

Correct AnswerverifiedProduction technologies may create pollu...View AnswerShow Answer

As a result of the rapid pace of innovation:

Correct AnswerverifiedA

The innovation process is often conceived of as a funnel because:

Correct AnswerverifiedShow Answer

Explain how an understanding of the innovation funnel might influence a company's view of research and development.

Correct AnswerverifiedIf a company truly understands the innov...View AnswerShow Answer

If a business discharges untreated chemical waste into the local water bodies of a community,it imposes a negative externality on the community members.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Kroters Inc.decides to set up its manufacturing plant near Woodsville,a small community of farmers.Kroters is most likely to create a positive externality for the community members of Woodsville if it:

Correct AnswerverifiedShow Answer

Virtual Inc.,a manufacturing company,has recently entered the cell phone industry.This industry is characterized by rapid technological innovations.Which of the following is most likely to be true for Virtual?

Correct AnswerverifiedShow Answer

Explain how the globalization of markets affects the importance of innovation.

Correct AnswerverifiedThe increasing importance of innovation ...View AnswerShow Answer

Explain the impact of computer-aided design and flexible manufacturing technologies on firms.

Correct AnswerverifiedComputer-aided design and computer-aided...View AnswerShow Answer

Flexible manufacturing technologies have increased the importance of production economies of scale.

Correct AnswerverifiedShow Answer

If a country's GDP stands at $4,867 billion,it means that the country's _____ is worth $4,867 billion.

Correct AnswerverifiedA

The majority of effort and money invested in technological innovation comes from nonindustrial firms.

Correct AnswerverifiedShow Answer

A firm's organizational structure and control systems have no influence on the generation of innovative ideas.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Electronic waste results from the disposal of technological goods.This is an example of:

Correct AnswerverifiedShow Answer

Why is it important for a company to have a well-defined process for strategically managing its new product development process?

Correct AnswerverifiedIn the frenetic race to innovate,many fi...View AnswerShow Answer

The _____ of an economy is its total annual output as measured by its final purchase price.

Correct AnswerverifiedShow Answer

Silk Work Inc.,a manufacturer of silk garments,is planning to replace hand weaving with some modern machines that run on fuel.Which of the following consequences of this measure can be categorized as a negative externality?

Correct AnswerverifiedC

Correct Answer
verified

Correct Answer
verified
Production technologies may create pollu...
View Answer

Correct Answer
verified
A

Correct Answer
verified

Correct Answer
verified
If a company truly understands the innov...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The increasing importance of innovation ...
View Answer

Correct Answer
verified
Computer-aided design and computer-aided...
View Answer

Correct Answer
verified

Correct Answer
verified
A

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
verified
In the frenetic race to innovate,many fi...
View Answer

Correct Answer
verified

Correct Answer
verified
C