01 Nov Product Cannibalization – November’s Free Tutorial
November’s free MBTN tutorial addresses product cannibalization. New product growth is often gained at the expense of existing products. The metric that measures the impact is called the Cannibalization Rate. Do we really understand the financial impact of an introduction on the overall health of the company? Is there a way to estimate the financial impact of cannibalization prior to a new product introduction? These are the topics we explore in this tutorial by Paul Farris which is also one of the required modules for our Profit Impact Metrics Certification.
This month’s tutorial will help managers and students understand the following topics:
- Definition of the cannibalization rate
- What role do margins play on the importance of cannibalization to measuring new product introduction success
- How we can use fair share draw be used to help estimate the impact of cannibalization or competitive product introductions
View the free tutorial at the link below.
The free link has expired, but check out this month’s tutorial under the Business Education Resources Blog.
If you find this tutorial insightful, you might also consider the following additional resources: