Question

Not every new item that McDonald’s rolls out is an instant success. Periodically during the past 50 years, McDonald’s has offered some products that just didn’t catch on with customers. One example is McWings, which was rolled out to stores for a short time in 2013 and then disappeared from the menu. The company didn’t give a reason for discontinuing the product and there were no known supply or production problems associated with McWings. But many observers noted that the cost of the McWings ($2.99 for 3 wings) did not offer the value that McDonald’s customers normally expect. Based on the information above, what two phases of product development did McDonald’s likely misjudge?

a. Product analysis

b. Idea generation

c. Commercialization

d. Product development and testing On the first day of a recent skiing vacation, you hit a mogul and injured your knee. The ski patrol hoisted you onto a sled and carried you down to the base of the mountain. The paramedic team transported you by ambulance to the local hospital. There, the emergency room doctor took x-rays of your knee and recommended an orthopedic surgeon to repair your ACL. Below is a list of the goods and services used to make you well. Select the services you used during your exciting, but brief vacation. Select all that apply. a. Goggles b. Nursing c. Splint d. Gurney e. Paramedic f. Ski Jacket g. Ski pants h. Gloves i. Rescue team j. Radio k. Poles l. Admissions coordinator m. Gauze n. Skis o. Ski lift operator p. Bed linens q. X-ray technician r. Rescue sled s. Doctor’s consultation

Answer 1

1. Answer: Product analysis, Product development, and testing

Rationale: The case shows that the McWings failed because the customers found that it was not providing the value they expected at a cost that didn't resonate with them.

Product analysis is the phase where you examine the cost, quality, appearance and other factors of the product and McDonald's misjudged the cost and quality of the product as it didn't provide the value to the customers. The cost of the McWings wasn't fair as well.

Product development and testing would have been done just before the McWings was introduced to the market where they analyze perceptions, needs and the performance of the product with the customers. Since it failed in the market due to cost and low-value proposition, McDonald's misjudged this phase as they failed to identify the needs, perceptions, and it did not perform the way they thought it should.

The idea generation and commercialization phase don't play a huge role in the failure of McWings as the customer feedback points towards the product quality and value which falls under the Product analysis and development and testing.

2. nursing, paramedic, rescue team, admissions coordinator, ski lift operator, x-ray technician, doctor's consultation

Rationale:

• The first service would be of the ski lift operator who ensures the safety of the ski operation,
• followed by the rescue team aka ski patrol who put the injured individual on the sled.
• The x-ray technicians service comes in to get the x-rays of the injured skier
• followed by the doctor's consultation service.
• The next service is the admissions coordinator who helps in the injured skier's admission to the local hospital.
• Finally, nursing is the service after you are admitted to the hospital

the remaining items such as goggles, splint, gurney, ski jacket, ski pants, gloves, radio, poles, gauze, skis, bed linens, and rescue sled are goods.