Product Management and Lifecycle Flashcards
(16 cards)
What is a product line?
the group of products that a brand offers
Product lines help companies to organize their offerings in a coherent manner.
Define product mix.
The total set of products marketed by a company
A product mix includes all product lines and items offered by a company.
What is a product portfolio?
The total range of products offered by the company
A product portfolio helps in assessing the overall performance and strategy.
What is category management?
The management of brands in a group, portfolio, or category with specific emphasis on the retail trade’s requirements
This approach focuses on understanding consumer needs and optimizing product offerings.
What are the two types of diversification?
- Related diversification
- Unrelated diversification
Related diversification involves staying within the same industry, while unrelated diversification means entering a new industry.
What does the product lifecycle help with?
- Growth projections
- Product planning
Understanding the product lifecycle is crucial for effective marketing and resource allocation.
What is a drawback of the product lifecycle?
- Cannot predict when each cycle will finish
- Difficult to distinguish between one stage and the next
These challenges can complicate strategic planning.
What does product management and lifecycle focus on?
How a company balances its different products to grow sales and stay competitive
Effective management involves making strategic decisions regarding product offerings.
What is Ansoff’s matrix used for?
To examine growth opportunities
Ansoff’s matrix helps businesses identify strategies for growth by analyzing products and markets.
What are the four strategies in Ansoff’s matrix?
- Market penetration
- Product development
- Market development
- Diversification
Each strategy carries different levels of risk and opportunity.
Define a ‘star’ in the BCG matrix.
High market share and high market growth - market leaders that generate significant cash and require continual investment
Stars are critical for a company’s growth and success.
What is a cash cow in the BCG matrix?
Low market growth and high market share - in constant demand and produce steady cash flow
Cash cows are essential for funding other business areas.
What characterizes a ‘?’ or problem child in the BCG matrix?
High growth and low market share - potential to grow into stars or dogs, requiring high levels of investment
This category represents uncertainty and opportunity for growth.
Define ‘dogs’ in the BCG matrix.
Low market share and low growth - not worth further investment and drain on resources
Dogs typically indicate products that may need to be phased out.
Fill in the blank: The _______ of product mix refers to the number of product lines.
Width
Width is an important factor in assessing a company’s product mix.
Fill in the blank: The _______ within a product line refers to the variety of sizes and flavors.
Depth
Depth allows companies to cater to diverse consumer preferences.
