Top 10 Learning Questions for Chapter 20 of Marketing Management 13th edition by Philip Kotler and Kevin Lane Keller

1. TOP 10 Learning Questions for Chapter 20 Introducing New Market Offerings Louie Mark Quizon April 15, 2011 http://louiemarkquizon.blogspot.com

6. New-to-the-world New product lines http://louiemarkquizon.blogspot.com Keep Developing New Products

7. New-to-the-world New product lines http://louiemarkquizon.blogspot.com New products that create an entirely new market

8. New-to-the-world New product lines http://louiemarkquizon.blogspot.com New products that allow a company to enter an established market for the first time

9. Additions Improvements http://louiemarkquizon.blogspot.com New products that supplement established product lines

10. Additions Improvements http://louiemarkquizon.blogspot.com Provide improved performance or greater perceived value and replace existing products

11. Repositionings Cost Reductions http://louiemarkquizon.blogspot.com Products that are targeted to new markets or market segments

12. Repositionings Cost Reductions http://louiemarkquizon.blogspot.com New products that provide similar performance at a lower cost

13. http://louiemarkquizon.blogspot.com Established product lines of Hapee Example: Hapee Toothpaste

14. http://louiemarkquizon.blogspot.com Additional to existing product lines Supplements a company’s existing product lines Example: Hapee Toothpaste

19. Stimulate Creativity in Individuals and Groups! http://louiemarkquizon.blogspot.com

20. Stimulate Creativity in Individuals and Groups! http://louiemarkquizon.blogspot.com

26. Gas Station Transform a Product to Satisfy New or Different Needs through Lateral Marketing! http://louiemarkquizon.blogspot.com Cafeteria Cereal Candy Audio

27. Gas Station Food Lateral marketing combines two product concepts or ideas to create a new offering. http://louiemarkquizon.blogspot.com Cafeteria Internet Cereal Snacking Candy Toy Audio Portable

28. Shell Gas Station Food http://louiemarkquizon.blogspot.com Example: Shell and Shell Select Store

29. Shell Gas Station with Select Store http://louiemarkquizon.blogspot.com Example: Shell and Shell Select Store

33. How Can New Products Fail? http://louiemarkquizon.blogspot.com Shortage of ideas Fragmented markets

34. Few ways left to improve products http://louiemarkquizon.blogspot.com Shortage of ideas Fragmented markets

35. Smaller market segments = Lower Sales and Profits http://louiemarkquizon.blogspot.com Shortage of ideas Fragmented markets

36. http://louiemarkquizon.blogspot.com Social and governmental constraints Costs of development Consumer safety and environmental concerns

37. http://louiemarkquizon.blogspot.com Social and governmental constraints Costs of development High R&D, manufacturing, and marketing costs

38. http://louiemarkquizon.blogspot.com Capital shortages Faster required development time Lack funds for research and launching

39. http://louiemarkquizon.blogspot.com Capital shortages Faster required development time Compress development time

40. http://louiemarkquizon.blogspot.com Shorter product life cycles Rivals - quick to copy successful products

45. Management Decisions for Test Marketing http://louiemarkquizon.blogspot.com How many test cities? Which cities?

46. Most tests use between 2 and 6 http://louiemarkquizon.blogspot.com How many test cities? Which cities?

47. Must develop selection criteria http://louiemarkquizon.blogspot.com How many test cities? Which cities?

48. http://louiemarkquizon.blogspot.com Length of test? What information to collect? Typically few months to a year

49. http://louiemarkquizon.blogspot.com Length of test? What information to collect? Consumer panels, buyer surveys, etc.

50. http://louiemarkquizon.blogspot.com What action to take? Relationship between trial and repurchase rates

51. http://louiemarkquizon.blogspot.com Started in Barangay Nalsian, Manaoag Town, Pangasinan Stocks have already reached Baguio City Next test: Pilgrims at Manaoag Church Example: Agtalon Malunggay Ice Cream

55. http://louiemarkquizon.blogspot.com How does a Consumer Adopt to a New Product and Service?

56. http://louiemarkquizon.blogspot.com The consumer becomes aware of the innovation but lacks information about it

57. http://louiemarkquizon.blogspot.com The consumer is stimulated to seek information about the innovation

58. http://louiemarkquizon.blogspot.com The consumer considers whether to try the innovation

59. http://louiemarkquizon.blogspot.com The consumer tries the innovation to improve his or her estimate of its value

60. http://louiemarkquizon.blogspot.com The consumer decides to make full and regular use of the innovation

61. http://louiemarkquizon.blogspot.com Example: Juan’s adoption of Mang Inasal

62. http://louiemarkquizon.blogspot.com Example: Juan’s adoption of Mang Inasal

63. http://louiemarkquizon.blogspot.com Juan becomes aware of this new restaurant that serves Chicken Inasal at a low price…

64. http://louiemarkquizon.blogspot.com The low price and the unlimited rice intrigues him to seek more information…

65. http://louiemarkquizon.blogspot.com He contemplates on whether he will try the product…

66. http://louiemarkquizon.blogspot.com He tries the product to feed his curiousness…

67. http://louiemarkquizon.blogspot.com Juan likes Mang Inasal very much! He then decides to go there every Friday.

72. How Adopters are Categorized http://louiemarkquizon.blogspot.com 21/2% Innovators 131/2% Early adopters 34% Early majority 34% Late majority 16% Laggards Reference: Philip Kotler’s, Marketing Management, 13 th Edition

73. Innovators are technology enthusiasts http://louiemarkquizon.blogspot.com 21/2% Innovators 131/2% Early adopters 34% Early majority 34% Late majority 16% Laggards Adopter Categorization, From Philip Kotler’s, Marketing Management, 13 th Edition

74. Early adopters are opinion leaders http://louiemarkquizon.blogspot.com 21/2% Innovators 131/2% Early adopters 34% Early majority 34% Late majority 16% Laggards Adopter Categorization, From Philip Kotler’s, Marketing Management, 13 th Edition

75. Early majority are deliberate pragmatists http://louiemarkquizon.blogspot.com 21/2% Innovators 131/2% Early adopters 34% Early majority 34% Late majority 16% Laggards Adopter Categorization, From Philip Kotler’s, Marketing Management, 13 th Edition

76. Late majority are skeptical conservatives http://louiemarkquizon.blogspot.com 21/2% Innovators 131/2% Early adopters 34% Early majority 34% Late majority 16% Laggards Adopter Categorization, From Philip Kotler’s, Marketing Management, 13 th Edition

77. Laggards are tradition bound and resists innovation http://louiemarkquizon.blogspot.com 21/2% Innovators 131/2% Early adopters 34% Early majority 34% Late majority 16% Laggards Adopter Categorization, From Philip Kotler’s, Marketing Management, 13 th Edition

79. Example: Kris Aquino’s Cervical Cancer Vaccine Advertisement http://louiemarkquizon.blogspot.com Kris Aquino = known trendsetter Ad uses Kris to influence adopters

84. What are the Features that Distinguishes an Innovation? http://louiemarkquizon.blogspot.com Relative Advantage Compatibility

85. Innovation = better than the superseded idea http://louiemarkquizon.blogspot.com Relative Advantage Compatibility

86. Harmony between innovation and values/norms of adopters http://louiemarkquizon.blogspot.com Relative Advantage Compatibility

87. http://louiemarkquizon.blogspot.com Complexity Divisibility Gauge of difficulty in understanding/using the innovation

88. http://louiemarkquizon.blogspot.com Complexity Divisibility Tried on a limited basis?

89. http://louiemarkquizon.blogspot.com Communicability Beneficial results are observable and describable

91. http://louiemarkquizon.blogspot.com Compatibility Product well adopted by young professionals Example: San Miguel Beer Light

92. http://louiemarkquizon.blogspot.com Complexity Divisibility Low Low Communicability High Example: San Miguel Beer Light

96. TOP 10 Learning Questions for Chapter 20 Introducing New Market Offerings Louie Mark Quizon April 15, 2011 http://louiemarkquizon.blogspot.com