Product Differentiation Essay Example | Topics and Well Written Essays - 1000 words

Product Differentiation - Essay Example In addition, the company sells original stereographs (Noel, and Glazer, 35). This new and interesting technology will open up a world of opportunity for Miss Woolpert and aid in expanding her business. Information will reach potential customers through testimonials of those who see the display in the public museum and will later be able to come full circle and grow TwinScope. TwinScope has quite a few targets that it hopes to attain. First, there are couples of thousands of members from various clubs. These may be the collectors of such products. Along those same lines, TwinScope hopes to target at least big institutions 37 such as museums, which will aid in increasing awareness of the stereographs. While these organizations occupy an estimate of close to 55% of the market share, Twin Scope will most likely be focusing on the niche market of stereograph club members (Sally, 118). Large-scale production of the stereograph needs various costs such as the fixed costs and variable costs. With the intended TwinScope plan of economy of scale the organization will need to have an estimated expenditure cost of $56,000 for raw materials and equipment. The large-scale production will reduce the cost of one unit by at least 10% (Donald, 39). The high degree of brand loyalty for stereoscope firms will require TwinScope to spend money on advertising the new ideology of a ‘hanging art piece’ to develop its own brand loyalty. Breaking through the barrier into museums also proves to be a very difficult task.