For this assignment, answer questions 1, 2, 3, 4, 5, 6, 8, 9, 10, and 13 at the end of Chapter 12 on page 365.
Market audit and competitive analysis play a very important role in to any production. When believe about the marketplace in Malaysia; they are mostly introduce electrical and electronic manufactured goods from America, Europe, Singapore, Japan and China and also they bring in some products as equipment, steel, iron and also substances. It demonstrates that they are well developed state and also very vibrant. Because above states are famous for the excellence & branded manufactured goods (Cho, et.al, 2013).
The product is the main and most significant part of any organization. All of the organization’s performance depends upon the quality and quantity of the product. The manufacturing of the product needs a vast analysis of budget, audit and competition.
Relative advantage of product
This is the level to which a given customer sees a certain characteristic of a new manufactured good or service to be improved than the attributes of same existing manufactured goods or services. If a customer sees the new product characteristic as better than active ones, it does not unavoidably mean that that characteristic is actually better. This signifies that this product attributes is based on customer perception.
Compatibility of the product
Compatibility is how the customer perceives the new manufactured good or service into the person’s way of life choices. When the creation or service intimately matches the individual’s needs, beliefs, principles, and expenditure patterns, the modernism can be considered highly well-matched with the customer.
Complexity of the product
The level to which the consumer believes the innovation to be tricky utilize in known as the innovation’s complication. If the modernism has a high level of difficulty, it will have a inferior level of acceptance. If the modern is perceived as being less multifaceted than its existing complements, a marketer can from time to time use the advantage to gain a price quality on the new invention or service (Cho, et.al, 2013).
Trialability of the product
If the new item for consumption or service can be endeavoured out for limited time phase before an actual expending of money, the product acceptance rates will rise significantly. Trialability reduces the customer’s perceived danger of making an acquirer of the product.
Observability of the product
The level to which a potential customer can observe the modernism and its optimistic effects is known as observability. The supplementary the positive effects are intelligence the more apparent the effects are to the customer (Francis, et.al, 2013).
Major problems and resistances to product acceptance
- Goal setting
- Information processing
- Quality and Quantity check and balance
Market is the place where the products are first sold to the shopkeeper at discounted but at audit price and then sold by the market at retail price. That is why the audit analysis as well as competitive analysis is necessary as these factors should be kept in view. If there is a tough competition in the market then the cost of the product must be kept according to it.
Let us consider Coca Cola; its tough competitor is Pepsi. Pepsi and Coca Cola both are the manufacturers of the beverages. They have some other products like Pepsi have 7up, Miranda, etc. The packaging is in many types like in tin can, plastic bottle, and glass bottle. Price of both fluctuates between 15-30 cents per six oz. The consumers can purchase it from the local markets of the town (Keillor, et.al, 2015).
The advertising modes they usually use are:
- Banners and posters
- TV commercials
- Road concerts, etc.
There is a 3-channel distribution network of Pepsi. These are
- Direct store delivery
- Customer ware house
- Third-party distributor networks
Keillor, B., Hult, G. T. M., & Babakus, E. (2015). The Natid Scale: Construction of a National Identity Scale for Application in International Marketing Research. In Proceedings of the 1994 Academy of Marketing Science (AMS) Annual Conference (pp. 220-224). Springer International Publishing.
Francis, J. R., Michas, P. N., & Seavey, S. E. (2013). Does Audit Market Concentration Harm the Quality of Audited Earnings? Evidence from Audit Markets in 42 Countries. Contemporary Accounting Research, 30(1), 325-355
Cho, P., Cutie, C., Kreydin, E., & Ko, D. (2013). 2309 COMPETITIVE MARKET ANALYSIS OF TRANSPLANT CENTERS AND DISCREPANCY OF PATIENT ACCESS TO KIDNEY TRANSPLANTATION. The Journal of Urology, 189(4), e946-e947.