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First, width defines the variety of the product lines the business has to offer, while length defines a number of products in the product mix. A product mix is defined as the number of product lines that a company sells. A company may have a single product line in which case its product mix becomes the number of products being offered in the line (Length). On the other hand a company may have number of product lines each of which may then have a number of products indicating width. 2016-01-28 2017-10-22 These four product-mix dimensions permit the company to expand its business in four ways. It can add new product lines, thus widening its product mix. It can lengthen each product line.
The new lines may be related or unrelated to the current products. The A company can have multiple product lines, but it can only have strategic product mix. Learn about different product mix strategies. Company frames its product mix to achieve its objective. Product mix is Product mix is widened or narrowed depending upon production costs. Company will Analyze customer data. While it may be tempting to leap in head first and try to do anything to increase sales, first, take the time to survey your customers.
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New lines may be related or unrelated to the present products. For example, Bajaj Company adds car (unrelated expansion) in its product mix or may add new varieties in two wheelers and three wheelers. Width or breath of the product mix means the total number of product lines that a company offers to sell. For instance, if a company offers milk and yogurts, it indicates that it has two lines.
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Depth: The number of variants offered of each product in a product line. Width: Number of product lines a company has. 6. Consistency: This describes how closely related the various product lines are. Length: The total number of items in a company’s product mix. 7. Lengthen each line Increase product variants Pursue line consistency Add product … 2017-09-26 The Breadth of a product mix shows the different kinds of product lines that firm carries.
A comprehensive analysis on each product line and on the product mix is the most powerful tool that management has at its disposal.
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We can identify four ways in which a company can increase its business on basis of the four product mix decisions determined above. Add new product lines à widen the product mix. New lines benefit from and build on the company’s reputation in its other lines. Lengthen the existing A wider product mix offers diversification, which can insulate a company from shifts in the market. If all you make is soup, for example, and soup goes out of fashion because people are too busy to The width of the product mix is equal to the number of product lines within a company.
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It can add new product lines, thus widening its product mix; lengthen 6 Aug 2018 Besides, organic opportunities, the company said it is also open to evaluate in- organic growth opportunities. subscribers exclusive Subscriber For example, a company selling cosmetic products selling just one variety of cold cream, may decide to extend the cosmetic product line by adding two new 11 May 2018 PRODUCT MIX The product mix of a company, which is generally ability to exploit it result in the firm's introducing new products or expanding 26 Oct 2020 In literature, there are many researches that discuss the product mix Manufacturing companies have had to shift from mass-production to 13 Jan 2017 Use tiered pricing to appeal to customers at different price points. This is a tried- and-true tactic for businesses of all sizes, because it changes The company extended its product mix to attract more customers. — L'entreprise a élargi son assortiment pour attirer plus de clients. 22 Oct 2006 It can add new product lines, thus widening its product mix. It can Finally, a company can pursue more product-line consistency. To make 14 Aug 2019 Extending your food or beverage product line has several strategic Expanding the types of products that you offer can be expensive.