A Company Wants to Add a New Product to Its

question 54

Essay

A company wants to add a new product to its existing line of products.There are two similar candidate products,A and B.The demand for the new product could be high,medium,or low,with probabilities of .25,.5,and .25,respectively.The demand and the corresponding profit for each product is:
$$\begin{array} { | l | l | l | l | } \hline & \text { High } & \text { Medium } & \text { Low } \\\hline \text { Product A } & 40,000 & 30,000 & 20,000 \\\hline \text { Product B } & 70,000 & 20,000 & 0 \\\hline\end{array}$$

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Definitions:

Localization

the process of adapting a product, application, or content to meet the language, cultural, and other requirements of a specific target market or locale.

Glocalization

A portmanteau of globalization and localization, describing how global practices are adapted to local cultures and environments.

Homogenization

The process by which cultures, customs, or items become uniform and similar, often as a result of globalization, leading to the reduction of cultural diversity.

McWorld

A term referring to the globalization of markets, where cultural, economic, and lifestyle homogenization occurs globally.