PRODUCT MIX AND PORTFOLIO MANAGEMENT

PRESENTED BY: PUNEET KAUR

The role of product management is to define, develop, deploy and maintain product and services that :

Provide more value than competition.

Help to build a sustainable competitive advantage.

Deliver financial benefit to the business .

CRITICAL SKILLS: Negotiation Team work Communication skills Analytical ability

PRODUCT MANAGERS POTENTIAL INTERACTIONS

MANUF ACTURI NG AND DISTRIB UTION Advertisi ng agency Media

R&D

Promotio nal services

Legal

PRODUC T MANAG ER

Packaging

Fiscal

Purchasin g

Market research Sales

Publicity

Product management

General marketing management

1. Scope of responsibil ity

Narrow: single product or product line Mainly tactical

Broad: portfolio of products

2. Nature of decision making

Mainly strategic

Long- run

3. Time horizon

Short- run (often annual or shorter)

GENERAL FOODS CORPORATIONS DESSERT DIVISION

General manager

Marketing manager established goods Group product manager dessert enhancers and ingredients

Marketing manager Frozen novelties

Marketing manager New products

Group product manager packaged desserts

Product manager Pudding Pops

Product manager Gelatin Pops

Product manager Jell-O Gelatin

Product manger Jell-O Pudding

Product manager Cool Whip

Product manager Bakers

Product manager Fruit and Cream Bars

Product manager Dessert ingredients

1. 2. 3. 4. 5.

6.

The web The data explosion The increased emphasis on brands Changes in the balance of market power Increased importance of customer retention programs Increased global competition

Product mix is the set of all products and items that a particular seller offers for sale. It is also called as product assortment.

Product mix
width length depth consistency

WIDTH: width of a product mix refers to how many different product lines the company carries. LENGTH: length of a product mix refers to the total no. of items in the mix.

DEPTH: depth of a product mix refers to how many variants are offered of each product in the line.
CONSISTENCY: the consistency of a product mix refers to how closely related the various product lines are in end use, production requirement, distribution channels or some other way.

Product line decisions based on customization Rule based process for product line decisions Linear programming for product line decisions Product mix decisions based on capacity utilization