Page 175 - principles of tourism marketing-1 (1)
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Factors that affecting product in the marketing mix.
Primarily five factors affect the product mix:
- Age.
A new company would have fewer products in its lineup. On the other
hand, an older company is likely to produce more products.
- Financial Position.
A company that is doing well and has good financial standing is likely to
have more products in the product mix, than a company that is not doing
well financially. A company not doing well would slash its product line or
products.
- Area of Operation.
If a company is in an industry where it can afford more products or making
more products is feasible, then it should do so. For example, there is more
scope of innovation in the smartphone industry than in the chip industry.
- Brand Identity.
Sometimes a brand becomes so big that it can easily add new (related and
unrelated) product lines or items. For instance, there were rumors of Apple
coming up with a car.
- Importance.
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