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» Economics » Marketing » Topics begins with P » Product elimination

Page modified: Tuesday, July 12, 2011 22:26:32

A product elimination (also Produktelimination) is the removal of a product of the production program. Without product elimination the assortment became ever more extensive. That would have fatal consequences for the competitive ability and the profit of the enterprise. This hits in particular too:

  • old products in the degeneration phase,
  • new products, in particular flops.

The following criteria can be put on with an examination, whether a product is to be eliminated:

  1. Is the amount covered how Accomplish (gradation hitting a corner contribution calculation)
  2. Is the turnover portion of the product of the gross income how
  3. Is the turnover rate of the stock how
  4. Is the market share how
  5. How does the product affect the
  6. Does the product represent an important addition of the
  7. Do other products depend on this
  8. Which associations does the product

Eliminationskandidaten can be recognized by means of the following procedures:

  • Life cycle analysis
  • Portfolio analysis
  • ABC analysis
  • Amount covered analysis
  • ROI analysis
  • Scoring analysis.

See also: Portfolio, BCG matrix, product life cycle, cost experience curve, Obsolescence

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