Marketing Plan: Pricing Strategies and Distribution Plan for New Product

Understanding the Environmental Conditions

Michelle, Elena, and the Mobile Manufacturing, Inc. (MM) board of directors know how important it is to understand the environment in which it is operating. They hired you a highly-regarded marketing consultant to bring a fresh perspective to the marketing plan. You are scheduled to meet with Michelle and Elena next week to discuss the environmental conditions that are relevant to introducing the new product.
As you prepare for the meeting, you consider all of the possible environmental issues. You recognize that Elena brings an interesting perspective to the process because she has experience designing mobile phones for the Eastern European market, and she is pushing for a new product that can be marketed worldwide. On the other hand, Michelle is more concerned with the domestic marketplace and is worried that trying to market a new product anywhere outside the United States much less worldwide could be very risky.
Now that the product and promotional decisions have been made for the new product, Michelle is concerned about the pricing of the new product and the distribution channels that will be used to make the product available to customers. She has asked you to write a 2-3 page memo outlining two different pricing strategies that MM should consider. Her voice mail message goes on to say,
I want you to recommend which strategy you think should be used for the target market and why. The second part of the memo should outline a distribution plan that will make the product available to the target customers.
You are ready for Michelle's request and begin drafting the memo to her that same day.