University of Louisville Ford Edsel Failure Analysis Discussion

Question Description

I’m working on a management discussion question and need an explanation and answer to help me learn.

Large corporations and businesses introduce new products and services in order to fulfill a market need and make profits. The new-product development process is discussed in your text. Using this as a basis, research product failures that have affected companies in the past and have cost them a substantial amount of money and may also have adversely affected their market reputation, tarnishing their brands.

Research the web and pick one such product failure for a Fortune 500 company and describe this failure. NOTE: A product failure, not a “company” failure such as Blockbuster and not a “discontinued” product because of a failed part, such as the Ford Pinto which was in production and sold for 10 years but was discontinued because of a faulty fuel system and placement of its gas tank. Also, do not select a subscription service, platform, add-in’s, apps. Products are tangible and services are intangibles.

At a minimum, you are expected to provide:

Information about the company

The product

The rationale for the introduction of this product

The costs associated with the product (development and losses)

Synthesize your position on 3 – 5 reasons or specific factors you believe most likely contributed to the product failure, using the product development process in the text

Suggested Failure Examples For Review (that you may use)

McDonald’s Arch Deluxe Burger

New Coke

Pepsi Crystal

Coors Rocky Mountain Sparkling Water

HP Touchpad

Sony Betamax

Ford Edsel

ESPN Mobile Phone

Microsoft Zune

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