PRODUCT MANAGEMENT (PM) - imm
Page 1 of 7
ASSIGNMENT 1st SEMESTER
:
PRODUCT MANAGEMENT (PM)
STUDY UNITS COVERED
:
CHAPTERS 2 - 6
DUE DATE
:
3.00 p.m. 16 March 2010
TOTAL MARKS
:
100
INSTRUCTIONS TO CANDIDATES FOR COMPLETING AND SUBMITTING ASSIGNMENTS The complete ’Instructions to Students for Completing and Submitting Assignments‘ must be collected from any IMM GSM office, or the relevant Student Support Centre or can be downloaded from the IMM GSM website. It is essential that the complete instructions be studied prior to commencing your assignment. The following points highlight only a few important notes. 1) You are required to submit ONE assignment per subject. 2) The assignment will contribute 20% towards the final examination mark, and the other 80% will be made up from the examination, however, the examination papers will count out of 100%. 3) Although your assignment will contribute towards your final examination mark, you do not have to earn credits for admission to the examinations; you are automatically accepted on registering for the exam. 4) Number all the pages of your assignment (e.g. page 1 of 4) and write your name and surname, student number and subject at the top of each page. 5) The IMM GSM requires assignments to be presented in a typed format, on plain A4 paper. Unless otherwise specified, this assignment must be completed within a limit of 1500 words, excluding the bibliography. 6) A separate assignment cover, which is provided by the IMM GSM, must be attached to the front of each assignment. 7) Retain a copy of each assignment before submitting, in case the original does not reach the IMM GSM. 8) The assignment due date refers to the day up to which assignments will be accepted for marking purposes. The deadline is 3:00 p.m. on 16 March 2010. Late assignments will be accepted, but 25 marks will be deducted from the maximum mark, if received after 3:00 p.m. on 16 March 2010 and up to 5:00 p.m. the following day, after which no assignments will be accepted. 9) If you fail to follow these instructions carefully, the IMM Graduate School of Marketing cannot accept responsibility for the return of the assignment. It may even result in your assignment not being marked. Results will be available on the IMM GSM website: www.imm.co.za on Friday, 7 May 2010.
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 2 of 7
SPECIFIC INSTRUCTIONS: 1.
Answer ALL the questions in detail.
2.
Use your own words to answer the questions!
3.
Read each question carefully to determine exactly what is required before attempting the answer.
4.
Answers must be set out in a systematic way under appropriate headings and sub-headings. Number your answers clearly.
5.
Do not simply give theoretical discussions. Practical application is essential for all questions and should form the bulk of your answers.
6.
Take note that 10 marks are allocated to the presentation and layout of your assignment.
7.
Make sure that you give a bibliography at the end of the assignment and provide references in the body of your answers where you have referred to other sources. Use the correct referencing method (Harvard system).
8.
All answers must be based on the attached case study where indicated. Refer to the Kellogg’s (http://www2.kelloggs.com) website and the Nutrigrain website (http://www.nutri-grain.com) for more information on the product.
9.
Textbook reference: Lehman, D.R., and Winer, R.S. 2005. Product Management. 4th edn. McGraw-Hill.
Read the following case study on Kellogg’s Nutri-Grain carefully before attempting to answer the questions that follow.
EXTENDING THE PRODUCT LIFE CYCLE The Kellogg Company is the world’s leading producer of breakfast cereals and convenience foods, such as cereal bars, and aims to maintain that position. In 2006, product lines include ready-to-eat cereals (i.e. not hot cereals like porridge) and
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 3 of 7
nutritious snacks, such as cereal bars. Kellogg’s brands are household names around the world and include Rice Krispies, Special K and Nutri-Grain, whilst some of its brand characters, like Snap, Crackle and Pop, are amongst the most well-known in the world. The company divides its market into six key segments. Kellogg's Corn Flakes has been on breakfast tables for over 100 years and represents the ‘Tasty Start’ cereals that people eat to start their day. Other segments include ‘Simply Wholesome’ products that are good for you, such as Kashi Muesli, ‘Shape Management’ products, such as Special K and ‘Inner Health’ lines, such as All-Bran. Children will be most familiar with the ‘Kid Preferred’ brands, such as Frosties, whilst ‘Mum Approved’ brands like Raisin Wheats are recognized by parents as being good for their children. Each Kellogg’s brand has to hold its own in a competitive market. Brand managers monitor the success of brands in terms of market share, growth and performance against the competition. Key decisions have to be made about the future of any brand that is not succeeding. This case study is about Nutri-Grain. It shows how Kellogg recognised there was a problem with the brand and used business tools to reach a solution. The product life cycle Each product has its own life cycle. It will be ‘born’, it will ‘develop’, it will ‘grow old’ and, eventually, it will ‘die’. Some products, like Kellogg’s Corn Flakes, have retained their market position for a long time. Others may have their success undermined by falling market share or by competitors. The five typical stages of the life cycle can be shown on a graph. However, perhaps the most important stage of a product life cycle happens before this graph starts, namely the Research and Development (R&D) stage. Here the company designs a product to meet a need in the market. The costs of market research – to identify a gap in the market and of product development to ensure that the product meets the needs of that gap – are called ‘sunk’ or start-up costs. Nutri-Grain was originally designed to meet the needs of busy people who had missed breakfast. It aimed to provide a healthy cereal breakfast in a portable and convenient format. 1. Launch – Many products do well when they are first brought out and Nutri-Grain was no exception. From launch (the first stage on the diagram) in 1997 it was immediately successful, gaining almost 50% share of the growing cereal bar market in just two years. 2. Growth – Nutri-Grain’s sales steadily increased as the product was promoted and became well known. It maintained growth in sales until 2002 through expanding the original product with new developments of flavour and format. This is good for the business, as it does not have to spend money on new machines or equipment for
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 4 of 7
production. The market position of Nutri-Grain also subtly changed from a ‘missed breakfast’ product to an ‘all-day’ healthy snack. 3. Maturity – Successful products attract other competitor businesses to start selling similar products. This indicates the third stage of the life cycle – maturity. This is the time of maximum profitability, when profits can be used to continue to build the brand. However, competitor brands from both Kellogg itself (e.g. All Bran bars) and other manufacturers (e.g. Alpen bars) offered the same benefits and this slowed down sales and chipped away at Nutri-Grain’s market position. Kellogg continued to support the development of the brand but some products (such as Minis and Twists), struggled in a crowded market. Not all products follow these stages precisely and time periods for each stage will vary widely. Growth, for example, may take place over a few months or, as in the case of Nutri-Grain, over several years. 4. Saturation – This is the fourth stage of the life cycle and the point when the market is ‘full’. Most people have the product and there are other, better or cheaper competitor products. This is called market saturation and is when sales start to fall. By mid-2004 Nutri-Grain found its sales declining whilst the market continued to grow at a rate of 15%. 5. Decline - Clearly, at this point, Kellogg had to make a key business decision. Sales were falling; the product was in decline and losing its position. Should Kellogg let the product ‘die’, i.e. withdraw it from the market, or should it try to extend its life? Strategic use of the product life cycle When a company recognises that a product has gone into decline or is not performing as well as it should, it has to decide what to do. The decision needs to be made within the context of the overall aims of the business. Kellogg’s aims included the development of great brands, great brand value and the promotion of healthy living. Strategically, Kellogg had a strong position in the market for both healthy foods and convenience foods. Nutri-Grain fitted well with its main aims and objectives and therefore was a product and a brand worth rescuing. Kellogg decided to try to extend the life of the product rather than withdraw it from the market. Extending the Nutri-Grain cycle – identifying the problem Kellogg had to decide whether the problem with Nutri-Grain was the market, the product or both. The market had grown by over 15% and competitors’ market share had increased whilst Nutri-Grain sales in 2003 had declined. The market in terms of customer tastes had also changed – more people missed breakfast and therefore there was an increased need for such a snack product.
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 5 of 7
Research showed that there were several issues to address: • The brand message was not strong enough in the face of competition. Consumers were not impressed enough by the product to choose it over competitors. • Some of the other Kellogg products (e.g. Minis) had taken the focus away from the core business. • The core products of Nutri-Grain Soft Bake and Elevenses between them represented over 80% of sales but received a small proportion of advertising and promotion budgets. • Those sales that were taking place were being driven by promotional pricing (i.e. discounted pricing) rather than the underlying strength of the brand. Having recognised the problems, Kellogg then developed solutions to re-brand and re-launch the product in 2005. 1. Fundamental to the re-launch was the renewal of the brand image. Kellogg looked at the core features that made the brand different and modelled the new brand image on these. Nutri-Grain is unique as it is the only product of this kind that is baked. This provided two benefits: the healthy grains were soft rather than gritty the eating experience is closer to the more indulgent foods that people could be eating (cakes and biscuits, for example). KELLOGG’S 2. Researchers also found that a key part of the market was a group termed ‘realistic snackers’. These are people who want to snack on healthy foods, but still crave a great tasting snack. The re-launched Nutri-Grain product needed to help this key group fulfill both of these desires. • •
3. Kellogg decided to re-focus investment on the core product of Soft Bake Bars as these had maintained their growth (accounting for 61% of Soft Bake Bar sales). Three existing Soft Bake Bar products were improved. Three new ranges introduced and poorly performing ranges (such as Minis) were withdrawn. 4. New packaging was introduced to unify the brand image. 5. An improved pricing structure for stores and supermarkets was developed. Nutri-Grain remains a growing brand and product within the Kellogg product family. Source: Adapted from www.thetimes100.co.uk. Accessed 01/06/2009.
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 6 of 7
ANSWER ALL OF THE FOLLOWING QUESTIONS AFTER HAVING READ THE CASE STUDY ON NUTRI-GRAIN QUESTION 1
[16]
When defining the competitive set, product managers need to avoid defining their competitors to narrowly. In this regard, four levels of market competition can be identified. Required: Using the example of Nutri-Grain in the attached case study, describe each of the four levels of market competition and explain the implications each level has for the development of product strategy. Make sure you identify Nutri-Grain’s competitors in the South African market at each level. Give at least four (4) examples of competitors at each level. [Note: It will be helpful if you conduct further research on the topics before answering this question. Do not simply rewrite what is given in the prescribed book. Use your own insight and consult additional textbooks, study articles, conduct Internet searches and use any other resources at your disposal when researching this topic.] QUESTION 2
[24]
Three important areas need to be analysed in order to assess the attractiveness of a product category: aggregate market factors, category factors and environmental factors. Required: Analyse, in detail, the six (6) aggregate market factors that will determine/ influence the category attractiveness for the Nutri-Grain product should Kellogg’s decide to launch this product into the South African market. Whilst it is important to briefly explain the theoretical issues, the bulk of your answer should focus on the practical application. Make sure that you address all aspects and explain the implications of the points made in your analysis. [Hint: Make sure that you discuss your answer from the perspective of how each factor will influence the operations and marketing of Nutri-Grain and hence influence the attractiveness of the category]. QUESTION 3
[30]
In customer analysis, certain key questions need to be asked by the product manager in order to ensure that he/she has an in-depth understanding of the customer and his/her needs. Required: Using Nutri-Grain as your point of reference, explain in detail what the product manager of Nutri-Grain needs to consider when answering the following questions:
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 7 of 7
3.1
Who buys and uses the product?
(10)
3.2
What customers buy and how they use it.
(20)
[Please note that whilst it is important that you explain the relevant theoretical aspects, it is equally important that you give a detailed practical application on each aspect to be addressed]. QUESTION 4
[20]
Customer knowledge is essential for any product manager when managing a product. When conducting the customer analysis there are many different areas that need to be analysed (as identified in Chapter 6 of Lehman & Winer, 2005). Although not specifically mentioned in Chapter 6, the product manager also needs to understand the rate at which an innovation diffuses through the market and the consumer adoption process relating to new products. Required: Write an essay on the topics of diffusion of innovation and the consumer adoption process for products. Make sure that you address the factors that affect these processes. Apply your discussion to Nutri-Grain by explaining how you would expect this product to move into the South African market (diffuse) and how consumers will react to the product and begin buying it (consumer adoption). [Note: It is essential that you conduct further research on this topic when answering this question. You will not find sufficient information in the prescribed book. Consult additional textbooks, study articles, conduct Internet searches and use any other resources at your disposal when researching this topic. Use the correct referencing method.] PRESENTATION
[10] ASSIGNMENT TOTAL: 100
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
ASSIGNMENT 1st SEMESTER
:
PRODUCT MANAGEMENT (PM)
STUDY UNITS COVERED
:
CHAPTERS 2 - 6
DUE DATE
:
3.00 p.m. 16 March 2010
TOTAL MARKS
:
100
INSTRUCTIONS TO CANDIDATES FOR COMPLETING AND SUBMITTING ASSIGNMENTS The complete ’Instructions to Students for Completing and Submitting Assignments‘ must be collected from any IMM GSM office, or the relevant Student Support Centre or can be downloaded from the IMM GSM website. It is essential that the complete instructions be studied prior to commencing your assignment. The following points highlight only a few important notes. 1) You are required to submit ONE assignment per subject. 2) The assignment will contribute 20% towards the final examination mark, and the other 80% will be made up from the examination, however, the examination papers will count out of 100%. 3) Although your assignment will contribute towards your final examination mark, you do not have to earn credits for admission to the examinations; you are automatically accepted on registering for the exam. 4) Number all the pages of your assignment (e.g. page 1 of 4) and write your name and surname, student number and subject at the top of each page. 5) The IMM GSM requires assignments to be presented in a typed format, on plain A4 paper. Unless otherwise specified, this assignment must be completed within a limit of 1500 words, excluding the bibliography. 6) A separate assignment cover, which is provided by the IMM GSM, must be attached to the front of each assignment. 7) Retain a copy of each assignment before submitting, in case the original does not reach the IMM GSM. 8) The assignment due date refers to the day up to which assignments will be accepted for marking purposes. The deadline is 3:00 p.m. on 16 March 2010. Late assignments will be accepted, but 25 marks will be deducted from the maximum mark, if received after 3:00 p.m. on 16 March 2010 and up to 5:00 p.m. the following day, after which no assignments will be accepted. 9) If you fail to follow these instructions carefully, the IMM Graduate School of Marketing cannot accept responsibility for the return of the assignment. It may even result in your assignment not being marked. Results will be available on the IMM GSM website: www.imm.co.za on Friday, 7 May 2010.
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 2 of 7
SPECIFIC INSTRUCTIONS: 1.
Answer ALL the questions in detail.
2.
Use your own words to answer the questions!
3.
Read each question carefully to determine exactly what is required before attempting the answer.
4.
Answers must be set out in a systematic way under appropriate headings and sub-headings. Number your answers clearly.
5.
Do not simply give theoretical discussions. Practical application is essential for all questions and should form the bulk of your answers.
6.
Take note that 10 marks are allocated to the presentation and layout of your assignment.
7.
Make sure that you give a bibliography at the end of the assignment and provide references in the body of your answers where you have referred to other sources. Use the correct referencing method (Harvard system).
8.
All answers must be based on the attached case study where indicated. Refer to the Kellogg’s (http://www2.kelloggs.com) website and the Nutrigrain website (http://www.nutri-grain.com) for more information on the product.
9.
Textbook reference: Lehman, D.R., and Winer, R.S. 2005. Product Management. 4th edn. McGraw-Hill.
Read the following case study on Kellogg’s Nutri-Grain carefully before attempting to answer the questions that follow.
EXTENDING THE PRODUCT LIFE CYCLE The Kellogg Company is the world’s leading producer of breakfast cereals and convenience foods, such as cereal bars, and aims to maintain that position. In 2006, product lines include ready-to-eat cereals (i.e. not hot cereals like porridge) and
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 3 of 7
nutritious snacks, such as cereal bars. Kellogg’s brands are household names around the world and include Rice Krispies, Special K and Nutri-Grain, whilst some of its brand characters, like Snap, Crackle and Pop, are amongst the most well-known in the world. The company divides its market into six key segments. Kellogg's Corn Flakes has been on breakfast tables for over 100 years and represents the ‘Tasty Start’ cereals that people eat to start their day. Other segments include ‘Simply Wholesome’ products that are good for you, such as Kashi Muesli, ‘Shape Management’ products, such as Special K and ‘Inner Health’ lines, such as All-Bran. Children will be most familiar with the ‘Kid Preferred’ brands, such as Frosties, whilst ‘Mum Approved’ brands like Raisin Wheats are recognized by parents as being good for their children. Each Kellogg’s brand has to hold its own in a competitive market. Brand managers monitor the success of brands in terms of market share, growth and performance against the competition. Key decisions have to be made about the future of any brand that is not succeeding. This case study is about Nutri-Grain. It shows how Kellogg recognised there was a problem with the brand and used business tools to reach a solution. The product life cycle Each product has its own life cycle. It will be ‘born’, it will ‘develop’, it will ‘grow old’ and, eventually, it will ‘die’. Some products, like Kellogg’s Corn Flakes, have retained their market position for a long time. Others may have their success undermined by falling market share or by competitors. The five typical stages of the life cycle can be shown on a graph. However, perhaps the most important stage of a product life cycle happens before this graph starts, namely the Research and Development (R&D) stage. Here the company designs a product to meet a need in the market. The costs of market research – to identify a gap in the market and of product development to ensure that the product meets the needs of that gap – are called ‘sunk’ or start-up costs. Nutri-Grain was originally designed to meet the needs of busy people who had missed breakfast. It aimed to provide a healthy cereal breakfast in a portable and convenient format. 1. Launch – Many products do well when they are first brought out and Nutri-Grain was no exception. From launch (the first stage on the diagram) in 1997 it was immediately successful, gaining almost 50% share of the growing cereal bar market in just two years. 2. Growth – Nutri-Grain’s sales steadily increased as the product was promoted and became well known. It maintained growth in sales until 2002 through expanding the original product with new developments of flavour and format. This is good for the business, as it does not have to spend money on new machines or equipment for
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 4 of 7
production. The market position of Nutri-Grain also subtly changed from a ‘missed breakfast’ product to an ‘all-day’ healthy snack. 3. Maturity – Successful products attract other competitor businesses to start selling similar products. This indicates the third stage of the life cycle – maturity. This is the time of maximum profitability, when profits can be used to continue to build the brand. However, competitor brands from both Kellogg itself (e.g. All Bran bars) and other manufacturers (e.g. Alpen bars) offered the same benefits and this slowed down sales and chipped away at Nutri-Grain’s market position. Kellogg continued to support the development of the brand but some products (such as Minis and Twists), struggled in a crowded market. Not all products follow these stages precisely and time periods for each stage will vary widely. Growth, for example, may take place over a few months or, as in the case of Nutri-Grain, over several years. 4. Saturation – This is the fourth stage of the life cycle and the point when the market is ‘full’. Most people have the product and there are other, better or cheaper competitor products. This is called market saturation and is when sales start to fall. By mid-2004 Nutri-Grain found its sales declining whilst the market continued to grow at a rate of 15%. 5. Decline - Clearly, at this point, Kellogg had to make a key business decision. Sales were falling; the product was in decline and losing its position. Should Kellogg let the product ‘die’, i.e. withdraw it from the market, or should it try to extend its life? Strategic use of the product life cycle When a company recognises that a product has gone into decline or is not performing as well as it should, it has to decide what to do. The decision needs to be made within the context of the overall aims of the business. Kellogg’s aims included the development of great brands, great brand value and the promotion of healthy living. Strategically, Kellogg had a strong position in the market for both healthy foods and convenience foods. Nutri-Grain fitted well with its main aims and objectives and therefore was a product and a brand worth rescuing. Kellogg decided to try to extend the life of the product rather than withdraw it from the market. Extending the Nutri-Grain cycle – identifying the problem Kellogg had to decide whether the problem with Nutri-Grain was the market, the product or both. The market had grown by over 15% and competitors’ market share had increased whilst Nutri-Grain sales in 2003 had declined. The market in terms of customer tastes had also changed – more people missed breakfast and therefore there was an increased need for such a snack product.
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 5 of 7
Research showed that there were several issues to address: • The brand message was not strong enough in the face of competition. Consumers were not impressed enough by the product to choose it over competitors. • Some of the other Kellogg products (e.g. Minis) had taken the focus away from the core business. • The core products of Nutri-Grain Soft Bake and Elevenses between them represented over 80% of sales but received a small proportion of advertising and promotion budgets. • Those sales that were taking place were being driven by promotional pricing (i.e. discounted pricing) rather than the underlying strength of the brand. Having recognised the problems, Kellogg then developed solutions to re-brand and re-launch the product in 2005. 1. Fundamental to the re-launch was the renewal of the brand image. Kellogg looked at the core features that made the brand different and modelled the new brand image on these. Nutri-Grain is unique as it is the only product of this kind that is baked. This provided two benefits: the healthy grains were soft rather than gritty the eating experience is closer to the more indulgent foods that people could be eating (cakes and biscuits, for example). KELLOGG’S 2. Researchers also found that a key part of the market was a group termed ‘realistic snackers’. These are people who want to snack on healthy foods, but still crave a great tasting snack. The re-launched Nutri-Grain product needed to help this key group fulfill both of these desires. • •
3. Kellogg decided to re-focus investment on the core product of Soft Bake Bars as these had maintained their growth (accounting for 61% of Soft Bake Bar sales). Three existing Soft Bake Bar products were improved. Three new ranges introduced and poorly performing ranges (such as Minis) were withdrawn. 4. New packaging was introduced to unify the brand image. 5. An improved pricing structure for stores and supermarkets was developed. Nutri-Grain remains a growing brand and product within the Kellogg product family. Source: Adapted from www.thetimes100.co.uk. Accessed 01/06/2009.
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 6 of 7
ANSWER ALL OF THE FOLLOWING QUESTIONS AFTER HAVING READ THE CASE STUDY ON NUTRI-GRAIN QUESTION 1
[16]
When defining the competitive set, product managers need to avoid defining their competitors to narrowly. In this regard, four levels of market competition can be identified. Required: Using the example of Nutri-Grain in the attached case study, describe each of the four levels of market competition and explain the implications each level has for the development of product strategy. Make sure you identify Nutri-Grain’s competitors in the South African market at each level. Give at least four (4) examples of competitors at each level. [Note: It will be helpful if you conduct further research on the topics before answering this question. Do not simply rewrite what is given in the prescribed book. Use your own insight and consult additional textbooks, study articles, conduct Internet searches and use any other resources at your disposal when researching this topic.] QUESTION 2
[24]
Three important areas need to be analysed in order to assess the attractiveness of a product category: aggregate market factors, category factors and environmental factors. Required: Analyse, in detail, the six (6) aggregate market factors that will determine/ influence the category attractiveness for the Nutri-Grain product should Kellogg’s decide to launch this product into the South African market. Whilst it is important to briefly explain the theoretical issues, the bulk of your answer should focus on the practical application. Make sure that you address all aspects and explain the implications of the points made in your analysis. [Hint: Make sure that you discuss your answer from the perspective of how each factor will influence the operations and marketing of Nutri-Grain and hence influence the attractiveness of the category]. QUESTION 3
[30]
In customer analysis, certain key questions need to be asked by the product manager in order to ensure that he/she has an in-depth understanding of the customer and his/her needs. Required: Using Nutri-Grain as your point of reference, explain in detail what the product manager of Nutri-Grain needs to consider when answering the following questions:
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
Page 7 of 7
3.1
Who buys and uses the product?
(10)
3.2
What customers buy and how they use it.
(20)
[Please note that whilst it is important that you explain the relevant theoretical aspects, it is equally important that you give a detailed practical application on each aspect to be addressed]. QUESTION 4
[20]
Customer knowledge is essential for any product manager when managing a product. When conducting the customer analysis there are many different areas that need to be analysed (as identified in Chapter 6 of Lehman & Winer, 2005). Although not specifically mentioned in Chapter 6, the product manager also needs to understand the rate at which an innovation diffuses through the market and the consumer adoption process relating to new products. Required: Write an essay on the topics of diffusion of innovation and the consumer adoption process for products. Make sure that you address the factors that affect these processes. Apply your discussion to Nutri-Grain by explaining how you would expect this product to move into the South African market (diffuse) and how consumers will react to the product and begin buying it (consumer adoption). [Note: It is essential that you conduct further research on this topic when answering this question. You will not find sufficient information in the prescribed book. Consult additional textbooks, study articles, conduct Internet searches and use any other resources at your disposal when researching this topic. Use the correct referencing method.] PRESENTATION
[10] ASSIGNMENT TOTAL: 100
Assignment: 1st Semester 2010
© IMM Graduate School of Marketing Product Management (PM)
