14 Aug This is a question with a critical thinking answer:A manufacturer of microwave o
This is a question with a critical thinking answer:A manufacturer of microwave ovens has designed an improved model that will reduce energy costs and cook food evenly throughout. However, this new moel will increase the products price by 30 percent because of extra components and engineering design change. It decides to test market the new oven in a market area with an extremely high household income level. In addition, the producer offers a discount coupon to facilitate product sales. The company wants to determine what effect the new model will have on sales of its microwave ovens. Do you see any potential problems with a sales forecast based on the results of the test market sales? What would you do differently?This is a question with a critical thinking answer:A manufacturer of microwave ovens has designed an improved model that will reduce energy costs and cook food evenly throughout. However, this new moel will increase the products price by 30 percent because of extra components and engineering design change. It decides to test market the new oven in a market area with an extremely high household income level. In addition, the producer offers a discount coupon to facilitate product sales. The company wants to determine what effect the new model will have on sales of its microwave ovens. Do you see any potential problems with a sales forecast based on the results of the test market sales? What would you do differently?
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