Date: 5 June 2015
Course: MKT 571
Instructor: John Hawes
SIMULATION TITLE: Product Life Cycle
SIMULATION DESCRIPTION: Holden Evan is creating its own brand of hot sauce, Burnin\ ' Rock, using exotic peppers sourced through fair trade. As product brand manager, your task is to successfully introduce the new product into the marketplace, and manage the brand through the product life cycle.
You earned 100 percent.
You chose to place Burnin\ ' Rock in health food store chains and the organic food sections of supermarkets. This was the best choice for reaching your target demographic.
You chose to use the best ingredients. This was the best choice, since it was consistent with the product definition and would be more profitable in the long term.
You chose to keep promotion levels the same in spite of slow growth and no profits. This was a good choice, since Burnin\ ' Rock was still in the early stages of growth.
You chose to spend $6 million â€“ three-quarters of the product\ 's first-year sales earnings â€“ on future production capacity and promotion. This was the best answer. Heavy investment is usually appropriate in the growth stage of a successful product.
You chose to keep promotion spending the same in response to growth. This was a good choice, since you needed to continue educating consumers while warding off competition.
You chose to keep prices the same in response to growth. This was the best choice.
You chose to create new variations of the product, such as new flavors and varying degrees of heat. This was a good choice to sustain market growth.
When the product reached maturity and sales plateaued, you chose to modify the market by finding new users for the product. This was a good choice.
You dealt with product maturity and increased competition by seeking alternative markets and new consumer uses for the product. This was a good choice.
You are the product