Marketing scenario

Positioned as an insurance premium offering focused to lowest overall cost to end users by dint of superior overall performance. Leader in quality , performance and scientific innovation Product plications Carton close and industrial tapes Specialized adhesives other postaging crossings SKI tape Manufactured using patented applied science and a pock name for pressure sensitive cartonful sealing tapeEvery high tensile strength and sheer resistance Positioning richly Price K Products Low Quality High Quality pack Tensile New Product Low Price Problem narrative K tape competed against inferior miserliness pit point of intersections in carton sealing type PACK offered 25-35% lesser damage Revenue of K- $68. 6 million PACK $28. 5 million 2012 Tensile -a new competitor had $2. 7 million dollar sale with one sales interpretive program Should SST stay with high quality product or enter the economy grade fragment ?Option 1 Enter the economy grade segment nether the s ame brand PROS Access to the economy segment Defend market share against competition Diversification of product portfolio CONS Dilution of the brand paradigm 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 Customer Ability to fulfill necessitate of price sensitive customers Possibility of change in perception of being a quality leaderDistributor Possibility to offer a low end SST product Even wider product range Limited sales force gross sales Force Ability to offer more variety in toll of price levels More effort to explain product differences Brand No positive impact Negative impact on brand image Option 2 Stay with high-quality products Maintaining image of quality Leader outrage of Market share Not targeting price sensitive consumers No need for adjustment in distribution policy.