Business And Economics Essay

1198 words - 5 pages

Product Team Cialis: Getting Ready
Brief background
Mark Berbato is the product team leader and executive director of Cialis. He has for a long time worked to provide a remedy for impotence in men competing existing leader, Viagra. The team is structured according to the function of its members. The product and marketing team works day and night to provide differential marketing strategies in order to survive the competition. Viagra has been used for a long time to treat erectile dysfunction in men. Despite this statistics, Mark’s team is optimistic about the uncertainties involved. Lilly management decided to find a better erectile dysfunction treatment by first understanding the ...view middle of the document...

The team was forced with a task of clearly choosing a market for Cialis and ways of achieving results against the competition. The side effects of ED drugs such as facial flashing also prevents users from trusting the drugs hence it is very difficult to penetrate the market. The physicians believe that they are the only people who decides what patients should take hence they influence the consumption habit of ED victims.
Important details for better decision making
For better understanding and decision making, the team should first understand its target group hence details regarding consumption of Viagra, the health practitioners, the partners of male victims, and the views on the media regarding those who do not take the drug and why should be analyzed. The consumer today is more demanding, more connected and less loyal to a product hence the team should find better ways of dealing with certain target groups especially if they go for the niche strategy. Things that make the chosen target group different from the rest should be studied and the details should be analyzed. In order to make the right choice between the two options, the decision makers must compare the two market strategy so as to justify their choice.
Consumers tend to follow what others do; it is a life preserving habit. The target market is already used to the existing product hence changing their perspective involves a lot of work. All the two market strategies can be effective depending on the approach given by the decision markers. The niche strategy can only be used when the team decides to assume the position held by Viagra and concentrate on their product. The team can then market Cialis to a specific target group regardless of how Viagra is performing in other areas. In the health sector, people tend to avoid using harmful substances despite the campaigns conducted by the health experts and advices provided. Viagra is an example of such products that have received mixed reactions.
Niche strategy
The reason for niche strategy is that working with a specific target group is cheaper especially for a new product in the market that is not well established. It is also a way of avoiding coalition with the existing products such as Viagra. Narrowing the market segment means that the new product will have relatively less competition.
The strategy however assumes the importance of other target groups because of its narrow market segment. This strategy may be successful but its slower hence can easily cause failures during the implementation. It is sometimes difficult to identify the right target group to focus on hence the team can choose...

Other Essays Like Business and Economics

Economics Essay

787 words - 4 pages 7303AFE Economics Microeconomics Assignment Ning Li s2782650 Lin Tan s2740728 Huy, VO s2862772 WORD COUNT: 531 Question 1 1.1 a) In 2012, it was the second driest in 60 years, and the 2011-2012 winter was unusually cold (Arbour, 2012). The weather in Spain, the world’s largest producer, was unexpected bad during harvest season. As a result, the output of olive oil was dramatically decreased, consequently as little as half of

Economics Essay

1876 words - 8 pages ECONOMICS ASSIGNMENT NAME: Stacey Turner STUDENT ID: 17556105 UNIT NAME: Economics 100 TUTOR: Andrew Brannan TUTORIAL DAY AND TIME: Tuesday 8am-9am The Newspaper article in the US Times “Why there is no lime industry in America anymore“ discusses bad weather, diseases and crime which have hit Mexico and Florida imposing threats to limes being grown in the region. This is essentially destroying the lime trees as well as


2637 words - 11 pages . Next, some of the most vital things in economics are resources. Sweden, in size compares to be slightly larger than California. The area, which is the sum of land and water limited by international boundaries, is 450,9295 square kilometers. As of 2012, studies from shows that the labor force in Sweden has about 5.0 million workers. Their GDP -per capital lies around $41,900. That figure ranks high at 26 out of 229 countries

Economics - 5448 words

5448 words - 22 pages , solid bulk and other goods, and for each of the abovementioned direct cost categories. Indirect impacts are estimated in terms of added value and jobs generated by services contracted from business and institutions, which represent the above mentioned indirect costs. Induced impacts are estimated applying an average multiplier to jobs (service sector), and other nine average multipliers, with the same classification as for the direct costs, from

Economics - 2782 words

2782 words - 12 pages Lecture 2. Basic Economic Problems Economics is the science of making choice under conditions of scarcity. What are the basic issues about which choices are to be made? Any society must make choices about three important problems. They are 1. What to produce and in what quantities? Food or weapons; if so, in what quantities? Is it more food and less weapons or vice versa? 2. How shall goods be produced? Electricity from thermal power or

Managerial Economics

516 words - 3 pages .what is meant by managerial economics? Managerial economics is a study of application of managerial skills in economics,more over it help to find problems or obstacles in the business and provide solution for those problems.problems may be relating to costs, prices, forecasting the future market ,human resource management, profits etc. Managerial economics is a study of application of managerial skills in economics, more over it help to

Economics Essay

1260 words - 6 pages other individuals. What's more, the individuals who is capable in economics implies it is simpler to locate a high-paid employment than others, the motivation behind why is a large portion of high-paid occupations are about practically take up with business and these employments need economics learning to administrate and control them, for example, business administrator, bookkeepers, Stock chiefs…...etc. After I graduate from university I can

Behavioral Economics

2030 words - 9 pages allow us to invest in human capital. Neoclassical or homo economics consists of two parts; microeconomics and macroeconomics. Microeconomics is concerned with the individual level of micro decisions and its importance to understanding our society. It deals with the choices of individual companies and households. In business, the choices are what to produce and how much to charge and in households what and how much to buy. Microeconomics

Economics Exam

2588 words - 11 pages the trade-off between equity and efficiency in the Australian economy. 3 marks SECTION B – Question 3 – continued TURN OVER 2013 ECONOMICS EXAM d. 18 ‘Australia’s prosperous mining industry does not provide a typical picture of Australian business in 2012. A much more diverse picture emerges when Australia’s economic performance is viewed across the different sectors and different regions. That picture reveals the

Managerial Economics

4565 words - 19 pages Managerial economics as defined by Edwin Mansfield is "concerned with application of the economic concepts and economic analysis to the problems of formulating rational managerial decision."[1] It is sometimes referred to as business economics and is a branch of economics that applies microeconomic analysis to decision methods of businesses or other management units. As such, it bridges economic theory and economics in practice.[2] It draws

Managerial Economics

1726 words - 7 pages and make strategic decisions, but in order to be able to apply them, it is crucial to collect data carefully and organize it well, to establish a strong basis for decision-making. On the other hand, it is also of high importance that any business sets their goals before analysing the data collected, as those goals will be at the heart of any formulation of managerial objectives. As a matter of fact, managerial economics aims for the best decision

Related Papers

Applied Statistics In Business And Economics, By Doane And Seward: Chapter 15 – Chapter Exercises 15.18, 15.22, 15.24, And 15.28

4359 words - 18 pages Prepare answers to the following assignments from the e-text, Applied Statistics in Business and Economics, by Doane and Seward:Chapter 15 - Chapter Exercises 15.18, 15.22, 15.24, and 15.2815.18Sixty-four students in an introductory college economics class were asked how many credits they had earned in college, and how certain they were about their choice of major. Research question: At α = .01, is the degree of certainty independent of

Economics Essay 1089 Words

1089 words - 5 pages not considered, the cost of the company will be unassuming and accounting ledger will not report correctly (Economic Concepts, para. 1, 2). Therefore, applying economic cost concepts is crucial in maintaining a clear analysis of profit gains and losses while making any and all business decisions. Conclusion In conclusion, the topic discussion has made it quite clear that understanding organization economics is important for a firm’s

Economics Essay 736 Words

736 words - 3 pages Internet Article/Economic Theories University of Phoenix ECO360/Economics for Business I Amy Green June 21, 2007 Supply, Demand and Price In applying economic theories in today’s society is a broad case of reality. One must understand how policies most be carried out effectively to keep valued judgment separate form analysis. A great economist must divide economics into normative, positive and descriptive economics in order to

Economics Essay 4571 Words

4571 words - 19 pages 1. BASIC ECONOMICS Economics is a science which studies human behaviour as a relationship between ends and scarce means which have alternative uses. (L.Robbins 1935) Economics is the social science that examines how people choose to use limited or scarce resources in attempting to satisfy their unlimited wants. Wants - This is simply the desire of the citizens of a country. Each individuals wants are different and varies time to time