A CRITICAL INVESTIGATION INTO MARKET RESPONSE AND CANNIBALIZATION OF PRODUCT IN A HIGHLY COMPETITIVE INDUSTRY
- Project Research
- 1-5 Chapters
- Quantitative
- Regression
- Abstract : Available
- Table of Content: Available
- Reference Style: APA
- Recommended for : Student Researchers
- NGN 3000
EXCERPT FROM THE STUDY
Product cannibalization happens when a business chooses to substitute an existing product with a new one, regardless of its market position (i.e., the product's life cycle phase is ignored). According to reports, branded producers have used a range of delaying tactics to stop the branded segment's "cannibalization" of their income. One common method is for a marketed company to launch and market a new version of the concerned product with strategic or tactic results. Cannibalization is an important factor to consider when analysing a product portfolio. As manufacturers struggle to optimize the leverage of their brand equity, cannibalism is a serious challenge for the vast majority of them, as is the prevalence of line extensions. Any new product that enters a market will eat into the market share of all existing players, and predicting this cannibalization is a difficult job.
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