1. Product Line A product line is a portfolio of products and services offered by a firm. Chapter 7.1

2. Importance of Product Lines n Provides growth opportunities for the firm n Efficient and effective use of resources n Increases company’s market share and importance in overall market n Diversifies the firm’s business risk Chapter 7.2

3. New Product Strategies n Reactive Strategies –Defensive –Imitative –Second but better –Responsive n Proactive Strategies –Research & development –Marketing –Entrepreneurial –Acquisition –Alliances Chapter 7.3

4. Organizing for New Product Planning n New Product Committees n New Product Departments n Product Managers n Venture Teams Chapter 7.4

5. New Product Development Process Chapter 7.5

6. Assessing New Product Ideas n Qualitative Standards –Use judgment to determine: Potential impact on sales and profits Potential impact on the firm’s other products Potential demand Price range How it compares to the competition n Quantitative Standards –Developed a weighted scoring system for factors such as: Match with image Match with goals Impact on current customers Fit in product mix resources Chapter 7.6

7. Branding Terminology n Brand – name, brand, symbol, design or any combination of these used to identify the product n Brand name – part of the brand consisting of words and letters n Brand mark – symbol or logo used to identify the product n Trademark – brand that has been given legal protection Chapter 7.7

8. Characteristics of Effective Branding n Easy to pronounce, recognize, and remember n Describes the benefits of the product or service n Can be translated into foreign languages n Distinctive and capable of legal protection Chapter 7.8