In: Operations Management
If a meet restaurant is selling now items that they haven’t sell before such as toilet paper. How is the restaurant initiative relates to categorization? (Related to levels of categorization/goal derived categories/superordinate level/basic level/subordinate level) (position a product/ identify competitors/ create an example product)
Categorization: If a meat restaurant , sells a product that is new to them, for example a toliet roll/paper, it will be a called as Diversification as the market is new and the products are also new.
New Market | Present Market | |
New Product | Diversification | Product development |
Present Product | Market Development | Market Penetration |
This is a high risk scenario, as the restaurant owner may not have the experience of manufacturing a toilet paper and selling it. He may have to carry out a research to understand the target market, pricing strategy, in addition to competetion.
Positioning: Toilet paper can be positioned as a hygiene product, in the FMCG (Fast Moving Consumale Goods)industry. Toilet paper has a large market as it is widely used for personal hygiene. Target markets can be hospitality sector, which includes, hotels, restaurants, shopkeepers, households, hospitals, clinics, gas stations, restrooms/public toilets, infact all places which have a washroom/loo/toilets.
Competitors: The competetiors for toilet paper can be soap/liquid soap, foam based soap, hand dryers, Hand Sanitizers which can act as a substitute for Toilet Papers. In addition, hands free /water jet enabled toilets also reduce the use of toilet papers.