Marketing scenario

Positioned as an premium hold outing focused to net overall cost to end users through superior overall performance. draw in flavour , performance and technological innovation growth lines cartonful sealing and industrial magnetic tapes Specialized adhesives Other packaging mathematical products SKI tape Manufactured using patented technology and a brand hollo for pressure sensitive carton sealing tapeEvery high tensile skill and sheer resistance Positioning High Price K Products low gear Quality High Quality pack Tensile New Product Low Price Problem Statement K tape competed against subordinate economy grade products in carton sealing type rabble widened 25-35% lesser price Revenue of K- $68. 6 million PACK $28. 5 million 2012 Tensile -a new competitor had $2. 7 million dollar mark sale with one sales representative Should SST stay with high quality product or enter the economy grade segment ? preference 1 gain the economy grade segment under the identical bran d PROS Access to the economy segment Defend market divvy up against competition Diversification of product portfolio CONS Dilution of the brand image as a maker of technological superior product Conceptualization of its own product offering Accoutered product line Option 2 Enter the economy grade segment under different brand Implications for guest Ability to fulfill need of price sensitive customers Possibility of sort in perception of being a quality leaderDistributor Possibility to offer a low end SST product Even wider product carry Limited sales force Sales Force Ability to offer more variety in terms of price levels More confinement to explain product differences Brand No positive impact damaging impact on brand image Option 2 bank check with high-quality products Maintaining image of quality Leader Loss of Market share non targeting price sensitive consumers No need for adjustment in distribution policy.