Chapter 14: Product and Price - McGraw-Hill Introduction to Business

Shortening Commercial Breaks with Six-Second Ads

August 31, 2017

After years of skipping television advertisements with DVRs, many Americans have little patience for commercial breaks. And although ads are largely unavoidable during live programming like sporting events or award shows, that doesn’t mean people are paying attention. Oftentimes viewers will fiddle with their smartphones or simply tune out completely while commercials are rolling. This is bad news for companies who pay big bucks to advertise during high-rated time slots.

In an effort to get people watching ads on TV Continue reading →

Television, Advertising, Marketing, NFL, Fox, Sports, Entertainment

Chapter 1: Taking Risks and Making Profits, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Classic Food Brands Struggle to Connect with Modern Customers

August 25, 2017

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For decades millions of Americans kept their pantries stocked with plenty of established names like Campbell’s soup and Hamburger Helper. Consumers trusted these brands to provide their families with reliably tasty meals in a short amount of time. But Big Food’s dominance could be coming to a close as America’s eating habits change. After all, many modern consumers are eliminating processed foods from their diets while others don’t seem to care about buying name brand items.

Just visit your local Continue reading →

Packaging, Kraft, Marketing, Food, Product Development, Branding

Chapter 1: Taking Risks and Making Profits, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution

Lawsuit Targets Poland Spring for False Advertising

August 24, 2017

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Last year beverage companies sold $16 billion worth of bottled water, a 10 percent increase from 2016. The drink is even more popular than soda, but it certainly isn’t a hit with everyone. Along with being a frequent target for environmentalists, critics have also accused companies of lying about the origin of the water in their bottles. In fact, that’s the basis of a class action lawsuit recently filed against Nestle’s Poland Spring brand.

According to the complaint, “Not Continue reading →

Bottled Water, False Advertising, Regulation, Packaging, FDA, Food, Nestle

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter A: Business Law

[VIDEO] The Death and Life of Helicopter Commuting

August 18, 2017

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Instead of waiting in traffic, what if you could hop in a helicopter and commute to work in a matter of minutes? For a brief period in the 1970s people could do just that on New York Airways, a helicopter shuttle service that ferried folks around the city for as little as $5. Although a tragic accident quickly put an end to the industry, this video shows how advancements in technology could possibly allow helicopter shuttle companies to make a Continue reading →

Product Development, Transportation, Drones, New York City, Ethics, Commuting

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 6: Entrepreneurship, Chapter 14: Product and Price, Bonus Chapter B: Technology and New Media, Videos

General Electric Goes Local to Stay Global

August 17, 2017

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After its founding in 1892, General Electric spent decades growing into one of the country’s most successful companies. It continued to expand in the years following World War II, only this time GE began thinking globally rather than domestically. The company built its first international supply chains by establishing manufacturing centers in industrialized nations like France and Japan. By the 1990s GE moved on to developing economies like India and China where the company could produce items like jet engines Continue reading →

India, Regulation, Supply chains, Product Distribution, Global, General Electric, Manufacturing, Trade Protectionism

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution

Crocs Loses Big in Patent Case

August 15, 2017

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Whether you love them or hate them, the foam clogs made by the Colorado-based Crocs are certainly distinctive. They can’t be called “unique,” however, at least according to the U.S. Patent and Trademark Office. A recent ruling from the government agency rejected the patent that Crocs has held on its signature shoes since 2006. Apparently another party had registered a similar design a year before, thus invalidating the original trademark.

The Patent Office’s decision may finally bring an end Continue reading →

Copyright, Legal, Trademark, Patent, Crocs, Ethics, Footwear, Product Development

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 14: Product and Price, Bonus Chapter A: Business Law

Putting a Human Face on a Brand

August 11, 2017

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While you may not recognize the name Stephanie Courtney, chances are you know Flo, the cheery saleswoman for Progressive Insurance. Over the last decade Courtney has portrayed the character in more than 140 commercials, becoming “the personification of the company,” according to chief marketing officer Jeff Charney. “She represents our core values of integrity and honesty and transparency and customer service. She’s a character who has character.”

Of course, Flo is far from the only fictional spokesperson to be associated Continue reading →

Advertising, Insurance, Marketing, Progressive, Dos Equis, Spokespeople, Branding, Promotions

Chapter 1: Taking Risks and Making Profits, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter C: Managing Risk

American Movie Theaters Struggle After Weak Summer

August 8, 2017

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Last week we looked at how Netflix has loaded on debt while developing a new slate of original content. Although the streaming giant is taking a big risk with this strategy, many entertainment industry insiders still think Netflix is in a much stronger position than traditional movie theaters. With attendance down 3 percent from 2016, AMC Entertainment recently downgraded its outlook for the rest of the film industry’s year. The announcement sent theater stocks tumbling and caused the top four Continue reading →

Global, Movies, Entertainment, China, Netflix, Marketing, Product Distribution

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media

Netflix Piles on Debt to Create Original Content

August 1, 2017

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Since launching 20 years ago, Netflix has transformed from a DVD-by-mail service into the undisputed king of streaming video. The company now has more than 104 million subscribers across the world, a 25 percent increase since last year and quadruple the number of customers from 2012. On any given evening in North America, Netflix streaming accounts for more than a third of all download Internet traffic. The company’s lineup of original shows and movies are also a hit with critics Continue reading →

Product Development, Entertainment, Innovation, Netflix, Streaming, Television, Financing, Debt

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 7: Management & Leadership, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 18: Financial Management, Bonus Chapter B: Technology and New Media

Startups Look to Disrupt the Wedding Industry

July 26, 2017

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As the sudden closing of Alfred Angelo Bridal shows, dealing with weddings can be unpredictable and continuously frustrating even on the business side. But the financial rewards are vast for those who manage to navigate this volatile sector successfully. The wedding industry earned $58 billion in revenue in 2016 and is expected to bring in $63 billion by 2021. The average wedding now costs $26,500 as couples spend generously over the year or so that they spend planning the big Continue reading →

Innovation, Entrepreneurship, Startups, E-commerce, Weddings, Product Development

Chapter 1: Taking Risks and Making Profits, Chapter 5: Forms of Business Ownership, Chapter 6: Entrepreneurship, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media