Problem 1. Many companies engage in "market skimming," offering new products at whatever price the market will bear, then over time decreasing the price in order to gain the maximum profit from each market segment. List at least two products that would not fit this pricing model. Discuss why they do not fit this model?
Problem 2. When is a brand more than just a brand? Cite an example of when you or someone you know purchased something based primarily on the brand? Was it because of some perceived quality difference, or was it based on the expectation of how others would see or treat you?
Problem 3. Choose any product and discuss it with respect to the five levels of the product.
- The core benefit
- Basic product
- Expected product
- Augment product
- Potential product