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Direction of the ideal position from the center of the segment circle In part I, we used the center location of each segment for calculating

Direction of the ideal position from the center of the segment circle
In part I, we used the center location of each segment for calculating segment drift, but the center is not
the best spot for product positioning. Each segment has an ideal position, and customers will prefer a
product that is located closer to the ideal position, other conditions being equal.
Perf Size
Traditional 0.00.0
Low End -0.80.8
High End 1.4-1.4
Performance 1.4-1.0
Size 1.0-1.4
The table above displays the direction and distance of the ideal spot from the center of each segment
circle. Lets pick Low End. The ideal spot of a Low End product is located in the left upper corner of the
circle, which is -0.8 units in performance and 0.8 units in size away from the center of the circle.
As shown in the segment drift table in Exercise 1, The center location of Low End segment in Round 0 is
2.5(perf) and 17.5(size). Therefore, the ideal position is 1.7(perf) and 18.3(size).
2.5-0.8=1.7(performance)
17.5+0.8=18.3(size)
Exercise 2. Fill out the blank cells in the drift forecast table (Ideal Position)
Your task here is to fill out the ideal positions for each segment from round 0 in the table below. Segment
Drift Forecast Table from Exercise 1 provides the center spot for each segment for a given year. Using
those figures for the center spots and distance of ideal spots provided above, you need to calculate ideal
positions for each of the remaining segments for round 0(the Low End segment figures have been
provided).
I suggest you use Excel to save time.
Ideal Position Forecast
Traditional Low End High End Performance Size
RD Perf Size Perf Size Perf Size Perf Size Perf Size
0 Q8 Q91.718.3 Q10 Q11 Q12 Q13 Q14 Q15
Q1
Q2
Q3
Q4
Q5
Q6
Q7
Q8
Q9
Q10
Q11
Q12
Q13
Q14

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