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Possible Beer Product Packaging Glass/Label Design Market Shares (NEW) Market Shares (OLD) Total Market Share 1 Six 12Oz Small Green Label 5.8% 3.5% 9.3% 2

Possible Beer Product



Packaging



Glass/Label Design



Market Shares (NEW)



Market Shares (OLD)



Total Market Share



1



Six 12Oz Small



Green Label



5.8%



3.5%



9.3%



2



Six 12Oz Small



Brown Painted



8.8%



3.2%



12.0%



3



Six 12Oz Small



Brown Label



6.1%



3.4%



9.5%



4



Six 12Oz Large



Green Label



11.0%



3.5%



14.5%



5



Six 12Oz Large



Brown Painted



17.0%



2.9%



19.9%



6



Six 12Oz Large



Brown Label



13.2%



3.1%



16.3%



7



Four 16Oz



Green Label



9.4%



3.4%



12.8%



8



Four 16Oz



Brown Painted



14.2%



2.8%



17.0%



9



Four 16Oz



Brown Label



10.2%



3.0%



13.2%




The market shares for each combination of packaging and glass/labels design is listed on the table. Combination 5, a design utilizing Six 12oz Large with brown glass and painted label maximizes the market share of New Kirin quantified at 17% . The caveat is that this combination has a tendency to cannibalize the Old Kirin market share.


(KENNY) (1 point) Given the product design selected in c), evaluate the extent to which you expect the new product to cannibalize the existing product. Specifically, how much additional market share are you getting above and beyond the existing product? Are the two products competing for the same segments of the consumers?







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