BUSINESS ADMINISTRATION
MARKETING MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Select the best example for why a company would develop a new product(s).
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The company will make changes or upgrades to existing products to make it “new” again with customers who bought the 1st verison of the product as in the example of the iPhone
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The company will choose to delete or remove products from their product line when sales fall below a certain level because there is no demand for it.
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The company will develop new products to meet a need that has not yet been met or to compete with another company.
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Explanation:
Detailed explanation-1: -Developing new products provides a means to target new markets, increase market share, sell more and increase revenue streams. Meanwhile redesigning existing products enables costs to be cut, margins to be increased and ultimately more profits to be made.
Detailed explanation-2: -The idea, or product concept at this point, must be tested on a true customer base. Further development of the concept can be made according to the feedback. One example of concept development is the prototypes developed by car manufacturers.
There is 1 question to complete.