An examination of Loctite's decision to release Harnischfeger Corp Executive Summary, its brand-new instant adhesive dispenser has heighted the truth that the dispenser would not be complementing the company's current product line. The fact that Loctite is a leader in instant adhesives and operates in a market which has low price sensitivity shows that using a low priced adhesive under Loctite's name would only be decreasing the business's income in the long run. With dangers of sales cannibalization and sales of Loctite's high end dispenser's being threatened by the brand-new prospective launch, Loctite does not have a legitimate argument for introducing Harnischfeger Corp Executive Summary besides the truth that the prototype of the new invention has been developed and is ready to be launched under the company's name.
A suggested marketing mix in case the company decides to proceed with the launch suggests the rate to be listed below $250 with the product being targeted at a specific niche sector such as that of the 'motor vehicle repair work' so that the business does not end up losing the marketplace share of its high-end models to Harnischfeger Corp Executive Summary because of the item's low cost. Circulation through suppliers is suggested as per the marketing mix rather than going with the sales group because the expense of each sales call is $120 which would not be an economically practical move for a low cost item. An advertising project can not be removed from the marketing mix since the preliminary awareness needs to be created in order to reach out to prospective consumers in the targeted section.