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PDMA Product Development Professional (NPDP) Certification Sample Questions:

1. In which of the following scenarios is it most important to use net present value rather than payback period for financial analysis of a new product's potential?

A) Potential profitability is high, the product has a short life cycle and interest rates are high
B) A low level od capital expenditure is required, the product has long potential life cyckle and interest rates are hign
C) A high level of capital expenditure is required, the product has long potential life cycle, and interest rates are high
D) Potential profitability is high, the product has a log life cycle and interest are low

2. According to the results of 1997 PDMA study that evaluated the use of market research tools in new product development, based upon 383 projects, which of the following was the most essential and used tool?

A) Market testing
B) Customer site visits
C) Focus panels
D) Survey research, sampling and statistics

3. Marketing develops insights that go beyond product specifications on their own.

A) True
B) False

4. A company has decided to embard on a high-risk project that is focued on the development of a product outside the traditional boundaries of company operation. What type of team structure would be modst suitable for this type of project?

A) Lightweight
B) Autonomous
C) Agile
D) Functional

5. Mary is a product manager for ACE Electronics. Sha has been asked by the senior management executive to prepare a list of criteria as a basis for evaluation of new opportunities to be included in the new products portfolio. She presents the following list: potential market share, potentil contribution to company profitability, availbility of product development resources. MAry has omitted the moist important criterion form her list. What it is?

A) Support from the chief executive
B) Sufficient manufacturing capability
C) Sufficient marketing budget
D) Alignment with the company's new product strategy

Solutions: