Q1) Using current products familiar to you, draw and label a product life cycle diagram, showing

which stage each product is at?

Introduction: In introduction I put smart Tv’s ( e.g Samsung Smart tv etc).

Growth Stage: In growth stage we have Mobile phones (e.g iphone and androids phones).

Maturity/Saturation: In maturity stage I put Vcrs, Video cd players and Dvd players.

Decline Stage: In Decline Stage I put old black and white tv and monitors.
Q2) Suggest appropriate aims and objectives for a small, medium and large business?

Small Business: The aim of small business is to provide their customers quality products with
minimum lowest price.

Medium Business: The aim of medium business is to provide quality product with lowest price
just like small but it should also contain the innovative thinking and ways about the customers
need, what actually the customers want.

Large Business: The large business should align their strategies timely and their objectives are
usually in large businesses, their aims and objectives are generally connected to the objective
with which the business was designed by its owners. Large businesses should consider
expanding strategy.

Q3) Explain the difference between market orientated routes and product orientated
routes in Ansoff’s matrix?

Market Oriented Routes: The prime effort of any company with the production orientation is
to maximize their production. Under production orientation company succeeds when
manufacturing the products at possible cheap price. And in Marketing orientation consumers are
focused. Companies who are market oriented responds to the marketing research and modify
their products in accordance with what they observe to be the demand of market.

Product Oriented Routes: A business with a marketing orientation is basically directed by the
needs of its customers. Marketing research results determine what amount of product is produced
and old products may be discontinued and new products invented based on the desires or needs
of customers. If we see a production-oriented company, Companies doesn’t pay attention to
customer needs but they only focus on making max productions. If customers are unhappy with
its product, production Orientation Company is more likely to look for a new set of customers
than to modify its product.
Q4) Consider the decision taken by Kellogg to opt for product development. Suggest a way
in which it could have diversified instead. Justify your answer?

The term product development can be defined as manufacturing of products with known or
slightly new features that are changed in order to offer new or added benefits to the customers.
While diversification states that formation of a new consumer base which helps to develop
market potential of current company. This can be easily done via extension of current brand but
in several situations the modifications in current product may create a new market by
encouraging the products in order to create new uses.

1) Product extension
2) Product modifications