Question

1. One of the determinants in assessing market receptiveness is the:

A. immediate, valuable application of the new technology.

b. feasibility of the technological innovation.

c. economic viability of the technological innovation.

d. availability of and speed with which the new technology spreads.

e. core capability and the reputation of the organization.

2. Roddy leads a medical technology firm, and he has a vision of using nanotechnology to send small robots equipped with metal scrapers into arteries to remove plaque and prevent heart disease. Roddy’s lead product development scientist, Juan, runs a couple of studies and reports some bad news to Roddy. He says there would be a great demand for the product, and it would fit well with their business structure and objectives and would be highly profitable. Furthermore, he believes they are as well-situated as any company to deal with integrating medical devices with technology. However, Juan says that currently it is impossible to build robots small enough to safely scrape away plaque. First, better superconductors must be discovered and developed. Roddy’s vision lacks

a. technological feasibility.

b. market receptiveness.

c. organizational suitability.

d. competence development.

e. economic viability.

3. Which of the following best describes pacing technologies?

a. They are still under development and so far show little potential for altering market competition.

b. They have proved themselves effective and provide a strategic advantage as they are not used by everyone.

c. They are those that are commonplace in the industry and are used by everyone.

d. They have yet to prove their full value but have the potential to alter the rules of competition.

e. They are simple applications that were adopted at the lower end of the market before swiftly taking over the market.

4. Floyd is the CEO of Black Sand Inc. He is in need of an updated technology and is questioning whether he should develop it or acquire it from external sources. This is an example of

a. a make-or-buy decision.

b. benchmarking.

c. a situational analysis.

d. scanning.

e. a decentralized decision.

5. Which of the following options would a company choose when it wants to develop a technology and keep it proprietary?

a. licensing

b. technology trading

c. purchase

d. research partnerships

e. internal development

Answer 1

Answer 1: Option A

Explanation: The market receptiveness assessment of the firm has one of the determinants that the new technology must have immediate and valuable application at the disposal of customers.

Answer 2: Option A

Explanation: Since there is not the required level (superconductors) of technology available at the present scenario, the vision of Roddy lacks technological feasibility.

Answer 3: Option A

Explanation: Pacing technologies are the ones which have proved their potential but still are under the early development stage.

Answer 4: Option A

Explanation: When the firm is considering making the product in-house or buying from an outside source, it is an example of a make-or-buy decision.

Answer 5: Option A

Explanation: In licensing the technology of a firm can be used by another firm by paying a predetermined fixed cost (licensing fee) and revenue sharing structure. A firm which wants to develop technology and keep it proprietary would choose the licensing option.