Question
A firm currently offers a single product within the product category. The product management team is considering the development of a new high-featured and high-priced
A firm currently offers a single product within the product category. The product management team is considering the development of a new high-featured and high-priced offering.
a) Should they expect the new higher-priced product to cannibalize sales from the existing marketed product?
b) If so, why might the firm move forward with the new high-featured and high-priced offering
Suppose the product management team is considering the development of a new lowfeatured and low-priced offering, instead of the high-featured and high-priced one.
c) Should they expect the new lower-priced product to cannibalize sales from the existing marketed product?
d) If so, why might the firm move forward with the new low-featured and low-priced offering?
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Services Marketing Concepts, Strategies, & Cases
Authors: Douglas Hoffman, john Bateson
4th edition
1439039399, 978-1439039397
