Summary chapter 8

Question 1

O# 1.. Reasons why firms create products

Answer 1

reasons:
Changing customer needs
Prevent decline in sales
Avoid marketing saturation
Respond to low life cycles

True/// fashion// apparel// arts// books// software products

Question 2

O#2 Innovation theory // how managers product line decisions

Answer 2

I. which type of customers will buy the product

Innovators: buyers who want to be the first buying

Early adopters: Buy the product after carefully view

Early majority: Don’t take risk, wait until the majority has testing the product

Late majority: Buy the product after products has achieve its fully potential

Question 3

O#3 list the stages involved in developing new product and services

Answer 3

Steps of developing new products:

1. Generate new ideas for the product or service
2. Second, test concepts to pontential C
3. Design process //product provide
4. test-market the design
5. Product launched is product is OK
6. evaluate sucess of product

Question 4

O#4 Describe product life cycle /// product decisions

Answer 4

Helps Comp. take decisions depending on stage:

1. Introduction stage. Comp. Appeal to innovators
2. growth stage. Establish the brand firmly
3. Maturity stage. firms compete for market share
4. Decline phase. Comp. withdraw marketing support