IMC 363 01
Elysium Inc. is displaying “good” marketing tactics by knowing how to target every audience differently. They have their upscale Renaissance wine, middle-class Paradise, and the one that causes controversy, Groove wine. Renaissance wine contains less alcohol and less sugar; therefore, it does not create a dependency as quickly as Groove wine. Paradise wine contains more alcohol than Renaissance but, still, not as high as Groove wine’s alcohol content. Elysium knows exactly what they are doing by not placing their name on the Groove wine bottles, which contain a much higher amount of alcohol than the other two wines (100%). It seems like they would be ashamed to have their name associated with a wine that creates alcoholism; but this does not stop them from putting their Groove wine in impoverished neighborhoods.
Renaissance wine sells for $300 a bottle. People with incomes that do not exceed 14,000 a year do not go out and buy a $300 bottle of wine. They might splurge a little and spend $50 for a bottle of Paradise wine, but even those chances are unlikely. Elysium already knows it would be a waste of profit for them to place Renaissance or Paradise wine in these lower-income neighborhoods. The bottles are most likely going to sit on the shelves, not that wine gets bad with age, and no one will give them a second glance. Meanwhile, Groove wine is sold for $1.50 and will make people “happier” a lot faster the more they consume. Elysium is making a huge profit here by providing inexpensive, high alcohol content. Is it ethical? No. Is it good marketing? Yes. In terms of becoming a successful company and making sales, Elysium knows how to play the game. They know exactly whom to market to and they know which product to place in each neighborhood. The citizens in a higher-income neighborhood can afford the Renaissance wine and continue to buy it because, with the right amount, it will get the...
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