Question

Foods international is developing a new gluten-free, chili-flavored pretzel. The marketing strategy for the product has already been developed and presented to top management. Several prototypes were also formulated by the company's r&d team. The final prototype is now being tested rigorously to ensure that it passes fda standards. Once approved, the next step will most likely be ________.

Answer 1

Test marketing

Explanation:

• Test marketing is an experiment undertaken in a field laboratory involving real stores and real-life retail scenarios without the consumers being informed they are taking part in an evaluation process. It simulates the future business mix to check customer reactions.

• Benefits of Test marketing

1. Marketing trials give two significant advantages to the marketing business. First, it provides an opportunity to check a product in normal market conditions so that its sales success can be measured. This knowledge, in addition to enabling top administration to accurately forecast its future domestic turnover, also forms the basis for the decision to extend the product nationally. Therefore, it is evident the significance of its accuracy.
2. Secondly, it provides an opportunity for management, while being on limited demand, to identify and fix any flaws in the product or in the marketing strategy before initiating a national selling launch, as it would usually be too late – and probably very expensive – to make adjustments and improvements.