Билет №15

1. Describe the essence of MBO, its principles and objectives.

2. What marketing strategies are appropriate at the introduction stage of the product life cycle?

This is the idea that all products have a birth, a life and a death, and that they should be financed and marketed with this in mind. Even as a new product is being launched, its manufacturer should be preparing for the day when it has to be killed off.

Introduction.The product’s costs rise sharply as the heavy expense of advertising and marketing any new product begin to take their toll. At this phase consumers must be aware of the product’s existence and persuaded to buy it. Some producers apply a market-skimming strategy (price skimming is a pricing strategy in which a marketer sets a relatively high price for a product or service at first, and then lowers the price over time). It is a temporal version of price discrimination/yield management. It allows the firm to recover its sunk costs (costs that have already been incurred and which cannot be recovered to any significant degree) quickly before competition steps in and lowers the market price. Other producers employ a market-penetration strategy (see ‘Market penetration’ Point).

Билет №16

1. What leadership styles do you know? Characterize each of them.

2. What marketing strategies are appropriate at the growth stage of the product life cycle?

This is the idea that all products have a birth, a life and a death, and that they should be financed and marketed with this in mind. Even as a new product is being launched, its manufacturer should be preparing for the day when it has to be killed off.

Growth.As the product begins to be accepted by the market, thecompany starts to recoup the costs of the first two phases. ‘Early adopters’ join the ‘innovators’ who were responsible for the first sales, so that sales rise quickly, producing profits. This generally enables the producer to benefit from economies of scale. Competitors will probably enter the market, usually making it necessary to reduce prices, but the competition will increase the market’s awareness and speed up the adoption process.

Билет №17

1. How would you instruct management leaders in true leadership skills?

2. What marketing strategies are appropriate at the maturity stage of the product life cycle?

This is the idea that all products have a birth, a life and a death, and that they should be financed and marketed with this in mind. Even as a new product is being launched, its manufacturer should be preparing for the day when it has to be killed off.

Maturity.By now the product is widely accepted and growth slows down. Before long, however, a successful product in this phase will come under pressure from competitors. The producer will have to start spending again in order to defend the product’s market position. Product managers can attempt to convert non-users, search for new markets and market segments to enter, or try to stimulate increased usage by existing users. Alternatively they can attempt to improve product quality and to add new features, sizes or models, or simply to introduce periodic stylistic modifications.