The document summarizes key concepts relating to product mix strategies and the product life cycle. It defines product mix and product line, and discusses major product mix strategies such as positioning, expansion, alteration, contraction, and trading up/down. It then explains the stages of the product life cycle - introduction, growth, maturity, decline - and the strategic implications of each stage. Finally, it discusses planned obsolescence and fashion adoption processes.

1. Chapter 1 0 Product-Mix Strategies Sommers  Barnes Ninth Canadian Edition Presentation by Karen A. Blotnicky Mount Saint Vincent University, Halifax, NS Copyright © 200 1 by McGraw-Hill Ryerson Limited

4. BREADTH (DIFFERENT LINES) Lawn mowers Gardening tools Lawn furniture Power rotary Power reel Hand-powered DEPTH (ASSORTMENT WITHIN A LINE) Rakes Hoes Shovels Chairs Chaise lounges Benches Each in various sizes and prices Each in various sizes and prices Various sizes and prices in redwood or aluminium with plastic webbing Product Mix - An Example

11. Dollars Time in years Loss 0 Profit Sales Volume INTRODUCTION GROWTH MATURITY DECLINE Product Life Cycle Curve

15. Part a - Extended introduction stage Part b - Fad Part c - Indefinite maturity stage Time in years Time in years Time in years Aggregate sales Aggregate sales Different Life Cycles

18. TRICKLE- UP Product adopted first by lower socio- economic group TRICKLE- DOWN Product offered first to upper socio- economic group Product introduced at same time in all three types of stores: TRICKLE-ACROSS Exclusive high-priced specialty stores (boutiques) TRICKLE-ACROSS Medium-priced department stores and specialty stores TRICKLE-ACROSS Discount stores Fashion Adoption Theories in Action