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PDMA Product Development Professional (NPDP) Certification Exam Sample Questions (Q169-Q174):

NEW QUESTION # 169
A product manager is charged with launching a new product. She decides on initially launching into a specific market segment and then, on the basis of achievieng penetration into this segment, to roll the product ou progressively to more segments. This approach to launching a new product is called a:

A. Rollout strategy
B. Market testing
C. Beachhead strategy
D. Market expansion

Answer: C

Explanation:
A beachhead strategy involves launching a new product in a specific, targeted market segment initially and, upon achieving penetration and success in this segment, gradually expanding to additional segments. This approach allows the product manager to focus resources and efforts on a defined group, ensuring a strong market presence and learning from initial market reactions before broader roll-out. This strategy minimizes risk and maximizes impact by building a solid foundation before expanding. References: Moore, G. A.
(1991). Crossing the Chasm: Marketing and Selling High-Tech Products to Mainstream Customers. Harper Business.

NEW QUESTION # 170
Elements of cost include all of the following except:

A. variable costs
B. capital costs
C. recurring costs
D. fixed costs

Answer: B

Explanation:
Elements of cost in project management typically include fixed costs, variable costs, and recurring costs.
Capital costs, on the other hand, refer to one-time expenses incurred to acquire or upgrade physical assets such as buildings or equipment. While capital costs are important, they are not usually included in the operational elements of cost, which focus on ongoing expenses.
References:
Horngren, C. T., Datar, S. M., & Rajan, M. V. (2012). "Cost Accounting: A Managerial Emphasis" (14th ed.). Prentice Hall.
Bragg, S. M. (2010). "Accounting for Capital Assets: A Guide for State and Local Governments".
Wiley.

NEW QUESTION # 171
In considering your portfolio in terms of market risk and technology risk, which combination is usually most desirable?

A. High market risk, low technology risk
B. Low market risk, low technology risk
C. Low market risk, high technology risk
D. High market risk, high technology risk

Answer: B

Explanation:
When considering a portfolio in terms of market risk and technology risk, the most desirable combination is usually low market risk and low technology risk. This combination indicates that the product is based on well-established technology and addresses a market with proven demand, reducing the overall risk associated with product development and commercialization.
References:
Cooper, R. G., Edgett, S. J., & Kleinschmidt, E. J. (2001). Portfolio Management for New Products.
Basic Books.
Kahn, K. B. (2012). The PDMA Handbook of New Product Development. John Wiley & Sons.

NEW QUESTION # 172
Key elements of Agile new product process includes the scrum, the scrum master, the scrum team, the sprint, the product backlog, and?

A. Product champion
B. Product owner
C. Stakeholders
D. Project manager

Answer: B

Explanation:
In Agile new product processes, key elements include the scrum, the scrum master, the scrum team, the sprint, the product backlog, and the product owner. The product owner is a critical role responsible for defining the features of the product and prioritizing the product backlog based on business value and customer needs. This role ensures that the development team works on the most valuable features first and aligns the product development with the business goals.
References:
Schwaber, K., & Sutherland, J. (2017). The Scrum Guide. Scrum.org.
Rubin, K. S. (2012). Essential Scrum: A Practical Guide to the Most Popular Agile Process.
Addison-Wesley.

NEW QUESTION # 173
According to the PDMA Measurement Success Project, the most appropriate set of measures for assessing project-level success depends on the firm's project strategy.

A. True
B. False

Answer: A

Explanation:
According to the PDMA (Product Development and Management Association) Measurement Success Project, the most appropriate set of measures for assessing project-level success indeed depends on the firm's project strategy. Different strategies may prioritize different aspects of performance, such as time-to-market, innovation, cost control, or customer satisfaction. Therefore, aligning the success metrics with the strategic objectives of the project ensures that the evaluation is relevant and meaningful. References: Griffin, A.
(1997). PDMA Research on New Product Development Practices: Updating Trends and Benchmarking Best Practices. Journal of Product Innovation Management.

NEW QUESTION # 174
......

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PDMA Product Development Professional (NPDP) Certification Exam Sample Questions (Q169-Q174):

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