Chapter 08 – Marketing Strategies for New Market Entries
End of Chapter Discussion Questions and Answers
1. A few years ago, pet rocks were a fad and Nike Air Jordan basketball shoes were a
fashion among younger customers in the United States. Graph the life cycle curves of
the two products on the same chart. How do the two curves differ from one another?
What are the major marketing implications for each product?
Answer:
Student answers may vary. Answers should include elements such as:
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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 08 – Marketing Strategies for New Market Entries
2. Minnetonka, Inc., is a relatively small firm that pioneered the development of
consumer health and beauty products, such as Softsoap and Check-Up plaque-fighting
toothpaste. What potential advantages does being the pioneer in new product-markets
provide a firm such as Minnetonka in an industry dominated by giants such as Procter
& Gamble and Colgate-Palmolive?
Answer:
Student answers may vary. Answers should include elements such as:
3. Not all new market pioneers effectively take advantage of the potential benefits
inherent in their early lead. What does the research evidence suggest that Minnetonka
should do relevant to major elements of its marketing strategy to gain and maintain a
leading share position in the new markets it enters?
Answer:
Student answers may vary. Answers should include elements such as:
Minnetonka should:
Maintain position as a product innovator
Defend a current market-share position
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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 08 – Marketing Strategies for New Market Entries
4. Under what conditions do pioneer and follower strategies each have the greatest
probability of long-term success?
Answer:
Student answers may vary. Answers should include elements such as:
Pioneering strategies have the greatest probability of long term success when:
They have the first choice of market segments and positions
They can influence customer choice criteria
Follower strategies have the greatest probability of long term success when they have the
ability to take advantage of the pioneer’s:
Positioning mistakes
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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.