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Concentric Diversification is a New Product Offering or Cannibalization. A Descriptive Study.

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Author(s): SHAHZAD KHAN

Journal: International Review of Management and Business Research
ISSN 2306-9007

Volume: 1;
Issue: 1;
Start page: 18;
Date: 2012;
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Keywords: Related Products | Variety | Cannibalization | Covering competition and demographic.

ABSTRACT
The large firms of the world offer multiple related products for three major reasons. First to provide variety to their consumers, second to capture maximum market share and third to build competitive pressure. But problem arise that does the firms really become successful in their efforts. Firms offer the new products as a variety offering or either competition pressure but the problem arise when the new product not positioned as a variety or either start competing with company old product so the concept of cannibalization started. For the purpose this research has conducted to find that does related products offered by some reputed firms in Peshawar Pakistan considered as a new variety offering, cannibalization or competition coverage. For research a sample of 100 respondents were contacted and a nominal scale non self administered questionnaire was used to collect data from them. For the analysis part of the study SPSS software was used to find the response of respondents through descriptive analysis and cross tabs analysis.
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