Introduction
Successful research and development in bionic limbs making has opened a new market segment for a promising product. The inventor of the Segway and ‘Star Wars’ movie showcasing viable bionic limbs has proved that there is definitely a market for bionic limbs (mostly amputees). Mega Bastard Corporation plan to enter this market may be quite a profitable strategy considering prosthetic limbs controlled by brain signals exist. The U.S. Food and Drug Administration approved various bionic limbs after almost 8 years of research and testing. People who fancy ‘super-power’ can now have devices that they can simply control using their brain. How fancy is that?
The most important factors to consider in the introduction of bionic limbs is the strategic management variable involved in product and business development. Namely; Market entry, research and development, pricing, designing the product and
…show more content…
This considerably reduces the percentage of market share for bionic legs sold by MBC. Moreover, prospective clients may need both a bionic arm and leg. Incorporating an initiative to introduce bionic arms may eventually help MBC gain a substantial market share for their product. Positive effects (externalities) can arise if MBC makes complimentary products of the bionic leg and arm therefore increasing lock-in of the MBC bionic production system (Baines & Fill 2014). Essentially this enables the prospective consumers to either choose to buy a bionic leg or a bionic arm and not both. This lock-in increases the switching costs from using a bionic leg to using a bionic arm.
Basic Buyer Behaviour Models and the way Consumers Might Make Decisions
The bionic leg is an experiential product, hence its continuous sales will heavily depend on MBC management creating experiential value to its