On a hot Baltimore day in August $2006,$ Phillips Seafood Restaurants were full of tourists lunching on local seafood specialties. Among them, Cherry Stockworth, vice$-$president of marketing for Phillips Foods, Inc., and Ron Birch, product manager for the new pasteurized king crab, were discussing the upcoming phase II of the launch of king crab $($see Exhibit $1).$ In phase I, Birch had targeted foodservice buyers and had spent almost half of his $$160,000$ king crab launch budget for ads in foodservice trade magazines. For phase II$,$ Stockworth was advocating a different strategy. She summarized:

Ron, king crab is one of the most important launches we have done in years. We are the leaders in blue swimming crab and our pasteurization process is arguably the best in the business. However, if we want to maintain our double$-$digit growth, we need to leverage the product diversification that king crab provides. In phase I, you have advertised the product in restaurant and institutional foodservice magazines, and the response has been good and the trade ads have worked well.