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1. Julia has a background in………
| Ababy products | Bmarketing | Cfarming |
2. Some of Hippychick's products are …….
| Aproduced by Mothercare | Bsold in Hippychick's own shops | Cdistributed through toy-shops |
3. According to Julia, she and her partner ……..
| Aare good at supplying products | Bcome up with brilliant ideas | Care trying to invent new products |
4. The turnover of the company ……..
| Adoubled last year | Bshould be £2m this year | Cwill increase by £5m |
5. What does Julia say about product mix? She wants …….
| Ato sell more brands | Bto start selling clothing brands | Cmore Hippychick brands |
6. What are the company's options for the future?
| Ato rent a 6,000 sq ft warehouse | Bto spend £15,000 on more warehouse space | Cto do absolutely nothing |
6. Can you think of any new products which have come onto the market recently? Why do you think they are successful or not?
UNIT 12
PRODUCTS
When we think of business, we usually think of tangible products that we can see and touch: computers on the desk or cars in the showroom. We may also think of primary products like coal or agricultural goods. But manufacturing forms a diminishing part of most advanced economies: only 17% of the US economy, for example. What manufacturing there is is increasingly lean,with 'Japanese' techniques such as just-in-time (JIT) ordering of components and total quality management (TQM) becoming widespread.
There is an unresolved argument about whether economies need manufacturing at all to survive and flourish. In many people's minds, nevertheless, there is great regret when a factory closes in a 'traditional' industry: there is something more 'real' about work in a car plant than in a call centre. But the car plant may provide more work indirectly, for example at the component manufacturers that supply it.
We define ourselves partly by the products we own and use, wherever they are made. Economies in different parts of the world are at different stages of development in the way products are bought and perceived. In newly industrialised countries, such as some of those in Asia, more and more people are now able to afford consumer durables like washing machines for the first time, and companies that sell these types of goods can make large amounts of money.
In the West, the market for televisions or washing machines is basically one of replacement. In a situation like this, design, brand and image become more important. Previously prestigious products, like certain makes of luxury car, become increasingly affordable, and manufacturers have to be careful to stay ahead of competition to avoid their brands being perceived as 'ordinary'.
UNIT LINKS
1. Robyn Sachs outlines a suggested schedule for a new product launch: http://www.rmr.com/tips/Timeline.html
2. The Unit 12 Case Study is based on a company selling innovative products. Visit the Gadget Shop website and practice presenting some of these real-life products: http://www.whsmith.co.uk/CatalogAndSearch/GadgetShop.aspx?SITE=1&TP=aboutus.asp&TID=-1&VID=&S_ID=ED10F9B7738A4CE3BAAFE54A74DD9F28&REFID=165&SESSID=&BRAND=1&S_TYPE=U&AV=F&QB=F&CAMID=0&BV=0
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