Chapter 5.5 Flashcards
Product portfolio
Is the collection of products that a firm produces
Boston matrix
Is a way of analysing a product share and growth in their market
A dog
Product has a low market share in a low growth market
Cash cow
Product that has a high market share ina low growth market
A question mark
Product that has a low market share in a fast growing market
A star
Product that has a high market share in a fast growth market
The product life cycle
Shows how the sales of a product may change over time
Extension strategies
Are attempts to maintain the salss of a product amd prevent it from entering the decline stage of the product life cycle
Price skimming
Setting high prices for a product when it first enters the market
Penertration pricing
Is launching a new product at a low price to achieve fast sales
Competitive pricing
Matching the price that competitors charges
A loss leader
A product sold at a loss in the hope that the customer will buy other items from the business where they make a profit
Cost plus pricing
Where products are proced by covering the cost of it to the retailer and adding a peecemtage on top
