Question: 1 . Should Philips enter the B 2 C LED market? Consider the size and potential of the B 2 C market compared to the
Should Philips enter the BC LED market? Consider the size and potential of the BC market compared to the BB market. Discuss any potential risks, including cannibalization of the BB segment.
If Philips decides to enter the BC market, develop a comprehensive marketing strategy that includes:
a Customer Value PropositionPositioning: How should Philips position the LED bulb in the BC market? Should the emphasis be on cost savings, environmental benefits, or another value proposition?
b DistributionChannel Strategy: Which channels should Philips use to distribute the LED bulbs, and why? Consider the implications of different retail environments.
c Pricing Strategy: What price should Philips set for the LED bulb in the BC market? Justify your pricing decision based on market data and competitive positioning.
d Promotion Strategy: Outline a promotion plan that aligns with your positioning and channel strategy. How will you communicate the value of the LED bulbs to target consumers?
Address potential challenges Philips might face with the BC market entry, such as competition, consumer price sensitivity and regulatory changes. Provide recommendations on how to mitigate these challenges.
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