Chapter 9_NEW! Mini Sim_Product Life Cycle MARK3300
You need to decide how much to spend over year two on future production capacity and promotion, to continue to grow the brand. What would be a reasonable figure? Select an option from the choices below and click Submit. - $2 million - $6 million - $16 million
- $6 million
Now it's year three. The CEO wants to know your plan for sustaining market growth. Select an option from the choices below and click Submit. - Rebrand completely, changing the name so it seems like a brand new product. - Expand into a new, untapped market for Burnin' Rock.
- Expand into a new, untapped market for Burnin' Rock.
Now that you are in the growth stage, how should you adjust the amount of your budget for promotion, compared to the launch year? Select an option from the choices below and click Submit. - Increase promotion spending. (One of the best) - Keep promotion spending the same. - Reduce promotion sending.
- Increase promotion spending.
It's five years later, and sales have reached a plateau. Burnin' Rock is clearly in the maturity stage. What should you do to increase sales? Select an option from the choices below and click Submit. - Do nothing. Sales have reached their natural limit. - Introduce new flavors of Burnin' Rock.
- Introduce new flavors of Burnin' Rock.
Move each of the sliding scales below to illustrate the typical level of distribution intensity at each stage of the product life cycle. When you have moved all four sliding scales, click Submit. - Introduction - Growth - Maturity - Decline
- Introduction: between 1-50 - Growth: between 25-75 - Maturity: between 50-100 - Decline: between 1-50
Now Burnin' Rock is in the decline stage of the product life cycle. What should you do? Select an option from the choices below and click Submit. - Keep Burnin' Rock on the market, but modify the marketing mix to maintain profitability. - Drop Burnin' Rock from the firm's product mix by either selling the product to another firm or simply liquidating the remaining inventories.
- Keep Burnin' Rock on the market, but modify the marketing mix to maintain profitability.
The CMO checks in with you and wants to know how you plan to adjust prices in response to growth. Which of the options is best for Burnin' Rock? Select an option from the choices below and click Submit. - Slash prices. - Keep prices the same. - Raise prices.
- Keep prices the same.
Now you need to decide the best place to sell Burnin' Rock, based on the product positioning you are trying to achieve. Which of these options would be best for Burnin' Rock? Select an option from the choices below and click Submit. - Place the product in health food store chains and in the organic food sections of supermarkets. - Place the product in hair salons, to position the product as something edgy and unexpected. - Place the product in the hot sauce section of supermarkets.
- Place the product in health food store chains and in the organic food sections of supermarkets.
It's still early in the launch stage. Sales of Burnin' Rock are not rising quickly. Growth is slow, and the product has not yet turned a profit. What promotional decision should you make? Select an option from the choices below and click Submit. - Spend more on aggressive promotion in order to increase product sales. - This is normal for a new product. Do not adjust promotion spending. - Cut promotion spending in order to improve profits.
- Spend more on aggressive promotion in order to increase product sales.
First, you need to make some product ingredient decisions. Which option is most appropriate for Burnin' Rock? Select an option from the choices below and click Submit. - Use the best ingredients, and also market additional products, such as salad dressing. - Use less expensive ingredients and a small amount of actual exotic peppers. The product will still be as advertised, but the profit margin will be much greater. - Use the best ingredients, as specified in the product definition.
- Use the best ingredients, as specified in the product definition.
Profit
Growth
Competition
Maturity
Sales
Maturity
