Answer in Management for Prince #160911
1.discuss the factors taken into account during product research?(please give at least 10 factors )
2.differentiate between market potential and sales analysis ?(please give at least 10 points of difference)
Factors Taken into Account During Product Research
quantitative product and target market research is key in acquiring vital data that will determine the success of a product. The first factor is understanding the tastes and preferences relating to the product under development. Another critical factor is the product life cycle as it determines the marketing efforts. Similarly, competition in the market and accessibility of substitutes in the market are key factors in product research. Besides, researchers ought to integrate public relations during the launching of the product and timing of the release. Lastly, a firm can consider the availability of raw materials for the product and consider additional costs relating to transportation, distribution and third parties.
Market Potential and Sales Analysis
Market potential relates to a perceived forecasting of the capacity of a segment to hold several brands at a time maintaining a break even margin. Similarly, market potential offers a forecast of a product success or failure in a given market. Sales analysis is a key derivative of a firm’s capacity to sell and maintain a substantial market share in a perfect competition. Market potential offers a better forecast of whether a market can expand under the prevailing and anticipated changes within the environment. On the other hand, sales analysis offers an overview of the performance of a product within the market. Firms can utilize the market potential to estimate the feasibility of different marketing efforts to have a product success, while sales analysis determines the intensity required to boost the sales volume of a product.