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So what if remanufacturing
cannibalizes my new product sales?
             Atalay Atasu
         V. Daniel R. Guide, Jr.
        Luk N. Van Wassenhove
             Reviewer : Violet Hsu
        CJCJ MBA Student, Taiwan ROC


    那麼,假若重新再製造舊產品會搶走
       我的新產品銷售量嗎?
          評論者:許華菁 R76061037
         長榮大學經營管理研究所,台灣
• you’re ruining us—remanufactured product sales
  are stealing new products sales” is a phrase that
  almost every manager of remanufacturing
  operations at original equipment manufacturers
  (OEMs) has heard from sales and marketing
  managers at their firm. Many new product sales
  teams firmly believe a remanufactured version of a
  product is a potential devil, cannibalizing market
  share from new products.


 • 你毀了我們!〝重新再製造舊產品的銷售是偷新產品的銷
   售〞這個短語,幾乎每名再製造經理已經在原始設備製造
   商公司那從銷售和行銷經理聽到。許多新產品銷售團隊堅
   信是重新再製造的產品版本是一個潛在的魔鬼,蠶食新產
   品的市場。
A remanufactured product is quite different from

        an ordinary low-end new product
• Quality Perception
• Supply Constraints
• Competition



              從一個普通的低端新產品來說
             重新再製造的產品有很大的不同

• 質量的感知
• 供應方面的限制
• 競爭
Remanufacturing Basics
• Product Acquisition Management (PrAM)—getting
  the right quantities of used products in the right
  condition (quality), at the right price, and at the
  right time;
• Reverse Logistics—transporting the used products to
  a remanufacturing facility;
             重新再製造基礎
 • 產品收購管理(PrAM):收購正確的數量使用過的產品,
   在正確的條件(質量)下,在合適的價格,在合適的時間;
 • 逆向物流:運送使用過的產品到再製造工廠;
Remanufacturing Basics
• Test, Sort, and Disposition—selecting the
  appropriate product recovery option, e.g.,
  remanufacturing, recovery of components or
  disposal;
• Remanufacturing; and
• Remarketing and Sales.
                      重新再製造基礎
 • 測試,分類和處置:選擇合適的產品回收選項,例如,再
   製造,恢復組件或出售
 • 重新再製造
 • 重新再行銷和銷售
Product Life Cycle Management
    with Remanufacturing
        重新再製造產品生命週期管理
Understanding Market
            Composition
• Newness-Conscious Customers
• Functionality-Oriented Customers




                     了解市場結構

 • 新奇性意識的客戶
 • 功能性為導向的客戶
Product Remanufacturing Matrix
      產品重新再製造矩陣
Conditions for Profitable
   Remanufacturing




 重新再製造利潤的條件
Putting the Factors Together
• If remanufacturing costs are high (i.e., close to new
  production), remanufacture only if the functionality-
  oriented segment is large and there are sufficient
  quantities of used products available (e.g., the Act
  quadrant in Figure 2).


                   綜合因素的共同作用

• 如果重再製造成本是高的(即,接近新的生產),再加工
  僅當面向的功能段是大的,並有足夠的數量時使用的產品
  (例如,在圖2中該法象限)
Putting the Factors Together
• If the remanufacturing costs are low,
  remanufacturing is profitable in three scenarios, but
  if the supply of used products is limited and there is
  a large functionality-oriented segment,
  remanufactured products should not be offered,
  (e.g., the Don’t Act quadrant in Figure 2).

                   綜合因素的共同作用

 • 如果重新再製造成本低,重新再製造是在三種情況下實現
   盈利,但如果使用的產品的供應是有限的,有一個大的功
   能為導向的段,再製造的產品不應該提供(例如,“不採
   取行動象限圖2)。
A Typical Product Returns Life
  Cycle for an Inkjet Printer
  一個典型的循環產品生命週期的噴墨印表機
Some Final Thoughts on Remanufacturing
            as a Marketing Strategy
• It should be clear that remanufacturing does not
  always cannibalize new product sales. Even if
  cannibalization does occur, it is not always bad.
  Remanufacturing is still attractive, provided the
  additional profits outweigh the cannibalization costs.



       重新再製造作為一種行銷策略的最後一些思考

• 應該明確的是,重新再製造並不總是蠶食新產品的銷售。
  即使蠶食確實發生了,它並不總是壞事。再製造仍然是有
  吸引力的,提供額外的利潤超過了蠶食成本。
Some Final Thoughts on Remanufacturing
              as a Marketing Strategy
• Managers—who understand the composition of their markets
  (functionality-oriented, newness-conscious, and perhaps
  green customers), the proper use of pricing strategies, the
  competition, and the supply of remanufacturable products
  over the product life cycle—should be able to minimize the
  potential for cannibalization and create additional profits.


        重新再製造作為一種行銷策略的最後一些思考

 管理者理解市場組成,市場導向的功能,新奇的意識,也
 許是綠色的客戶,定價策略,競爭的正確使用方法,以及
 在供應的重新再製造性產品在產品的生命週期應該能夠盡
 量減少潛在的蠶食,創造更多的利潤。
Some Final Thoughts on Remanufacturing
               as a Marketing Strategy
• This is not a static decision. It needs to be re-evaluated over
  the entire product life cycle. Managers have a responsibility to
  maximize profits for the firm and this is not always equivalent to
  maximizing new product sales. A portfolio that includes
  remanufactured products may make it possible to reach
  additional market segments and help block new low-priced
  competition and independent third-party remanufacturing.


            重新再製造作為一種行銷策略的最後一些思考

 • 這是不是一個靜態的決定。它需要被在整個產品生命週期重新評估。
   管理者有責任追求利潤最大化的公司,這是不是相當於最大限度地
   提高新產品的銷售。重新再製造產品的投資組合,其中包括可能使
   人們有可能達到更多的細分市場,並幫助阻止新的低價競爭和獨立
   的第三方再製造。

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So what if_remanufacturing_cannibalizes_my_new_product

  • 1. So what if remanufacturing cannibalizes my new product sales? Atalay Atasu V. Daniel R. Guide, Jr. Luk N. Van Wassenhove Reviewer : Violet Hsu CJCJ MBA Student, Taiwan ROC 那麼,假若重新再製造舊產品會搶走 我的新產品銷售量嗎? 評論者:許華菁 R76061037 長榮大學經營管理研究所,台灣
  • 2. • you’re ruining us—remanufactured product sales are stealing new products sales” is a phrase that almost every manager of remanufacturing operations at original equipment manufacturers (OEMs) has heard from sales and marketing managers at their firm. Many new product sales teams firmly believe a remanufactured version of a product is a potential devil, cannibalizing market share from new products. • 你毀了我們!〝重新再製造舊產品的銷售是偷新產品的銷 售〞這個短語,幾乎每名再製造經理已經在原始設備製造 商公司那從銷售和行銷經理聽到。許多新產品銷售團隊堅 信是重新再製造的產品版本是一個潛在的魔鬼,蠶食新產 品的市場。
  • 3. A remanufactured product is quite different from an ordinary low-end new product • Quality Perception • Supply Constraints • Competition 從一個普通的低端新產品來說 重新再製造的產品有很大的不同 • 質量的感知 • 供應方面的限制 • 競爭
  • 4. Remanufacturing Basics • Product Acquisition Management (PrAM)—getting the right quantities of used products in the right condition (quality), at the right price, and at the right time; • Reverse Logistics—transporting the used products to a remanufacturing facility; 重新再製造基礎 • 產品收購管理(PrAM):收購正確的數量使用過的產品, 在正確的條件(質量)下,在合適的價格,在合適的時間; • 逆向物流:運送使用過的產品到再製造工廠;
  • 5. Remanufacturing Basics • Test, Sort, and Disposition—selecting the appropriate product recovery option, e.g., remanufacturing, recovery of components or disposal; • Remanufacturing; and • Remarketing and Sales. 重新再製造基礎 • 測試,分類和處置:選擇合適的產品回收選項,例如,再 製造,恢復組件或出售 • 重新再製造 • 重新再行銷和銷售
  • 6. Product Life Cycle Management with Remanufacturing 重新再製造產品生命週期管理
  • 7. Understanding Market Composition • Newness-Conscious Customers • Functionality-Oriented Customers 了解市場結構 • 新奇性意識的客戶 • 功能性為導向的客戶
  • 8. Product Remanufacturing Matrix 產品重新再製造矩陣
  • 9. Conditions for Profitable Remanufacturing 重新再製造利潤的條件
  • 10. Putting the Factors Together • If remanufacturing costs are high (i.e., close to new production), remanufacture only if the functionality- oriented segment is large and there are sufficient quantities of used products available (e.g., the Act quadrant in Figure 2). 綜合因素的共同作用 • 如果重再製造成本是高的(即,接近新的生產),再加工 僅當面向的功能段是大的,並有足夠的數量時使用的產品 (例如,在圖2中該法象限)
  • 11. Putting the Factors Together • If the remanufacturing costs are low, remanufacturing is profitable in three scenarios, but if the supply of used products is limited and there is a large functionality-oriented segment, remanufactured products should not be offered, (e.g., the Don’t Act quadrant in Figure 2). 綜合因素的共同作用 • 如果重新再製造成本低,重新再製造是在三種情況下實現 盈利,但如果使用的產品的供應是有限的,有一個大的功 能為導向的段,再製造的產品不應該提供(例如,“不採 取行動象限圖2)。
  • 12. A Typical Product Returns Life Cycle for an Inkjet Printer 一個典型的循環產品生命週期的噴墨印表機
  • 13. Some Final Thoughts on Remanufacturing as a Marketing Strategy • It should be clear that remanufacturing does not always cannibalize new product sales. Even if cannibalization does occur, it is not always bad. Remanufacturing is still attractive, provided the additional profits outweigh the cannibalization costs. 重新再製造作為一種行銷策略的最後一些思考 • 應該明確的是,重新再製造並不總是蠶食新產品的銷售。 即使蠶食確實發生了,它並不總是壞事。再製造仍然是有 吸引力的,提供額外的利潤超過了蠶食成本。
  • 14. Some Final Thoughts on Remanufacturing as a Marketing Strategy • Managers—who understand the composition of their markets (functionality-oriented, newness-conscious, and perhaps green customers), the proper use of pricing strategies, the competition, and the supply of remanufacturable products over the product life cycle—should be able to minimize the potential for cannibalization and create additional profits. 重新再製造作為一種行銷策略的最後一些思考 管理者理解市場組成,市場導向的功能,新奇的意識,也 許是綠色的客戶,定價策略,競爭的正確使用方法,以及 在供應的重新再製造性產品在產品的生命週期應該能夠盡 量減少潛在的蠶食,創造更多的利潤。
  • 15. Some Final Thoughts on Remanufacturing as a Marketing Strategy • This is not a static decision. It needs to be re-evaluated over the entire product life cycle. Managers have a responsibility to maximize profits for the firm and this is not always equivalent to maximizing new product sales. A portfolio that includes remanufactured products may make it possible to reach additional market segments and help block new low-priced competition and independent third-party remanufacturing. 重新再製造作為一種行銷策略的最後一些思考 • 這是不是一個靜態的決定。它需要被在整個產品生命週期重新評估。 管理者有責任追求利潤最大化的公司,這是不是相當於最大限度地 提高新產品的銷售。重新再製造產品的投資組合,其中包括可能使 人們有可能達到更多的細分市場,並幫助阻止新的低價競爭和獨立 的第三方再製造。