Identify the Primary Reason for Conducting a Product Audit

question 71

Multiple Choice

Identify the primary reason for conducting a product audit.

• A)To develop a marketing plan for new products
• B)To detect sick products and bury them
• C)To earn the estimated profits without introducing new products
• D)To implement cost-cutting strategies without altering the product mix

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Definitions:

BCG Matrix

A strategic planning tool that categorizes a company's business units or products into four quadrants based on their market share and market growth rate, to help in decision-making.

Categories

Classified groups or divisions within a larger system, often used to organize information or items.

Positioning

The strategy of placing a brand or product in the market to occupy a distinct place in the minds of target customers relative to competing products.

Target Market

A specific group of potential customers at whom a company aims its products and services, identified by demographic, geographic, and psychographic characteristics.