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Marketing dehydrated beer

Marketing dehydrated beer
Answer the following questions in a comprehensive manner. Be sure to use examples and/or illustrations to emphasize your points.
1) Your cousin has developed a “dehydrated beer” which comes in tablet form (like a fizzie). You just drop the tablet in 12 oz of water and in 15 seconds you have a draft! There have been a substantial number of taste tests conducted with “beer drinkers” who have not been able to distinguish between his “draft” and the real thing (comparisons were made with Miller Low Life)! He has asked your advice on feasibility of introducing this new product line and has provided you with the following data: (35)
Rent (m) $ 4,500 Labor .23
M&E (m) 6,500 Ingredients .10
Insurance (a) 2,300 Utilities .03
Promotion(a) 550,000 Distribution .05
Management (a) 275,000
a) What is the estimated break-even for this product (show your work)
b) Are there any costs missing?
c) What are some potential target markets?
d) Describe a proposed marketing Mix.
e) Is this a good idea…why/why not?
m= monthly; a = annual; unit = 1 tablet
2) Select a product you are familiar with and describe its history as it passed through its life cycle…(you may need to find information on the internet). Pay particular attention to what this company did to increase frequency of use, find new users…etc. as this product reached maturity. I would suggest that you create a matrix/chart (like the one that is contained in your class slides) to illustrate the company’s strategy. Do not use examples in the book or on class slides. (35)
3) How are goods and services priced…what factors are considered in this process…why is this such an important and difficult task… (10)
4) Identify four different advertising mediums (i.e. radio and internet) and the relative advantages and disadvantages of each. (10)
5) What are the major functions middlepersons provide? (10)

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