107.
Historically, major consideration given to product management has focused on research and development or the introductory
stage of the product life cycle. The authors present an empirical study delineating the variables to be considered in the
product elimination process. More specifically, the elimination process is evaluated under a situation of poor product performance
despite a generally viable market. The basic objectives of the study were: to determine the significant variables in the product
elimination process of the Small Appliance Industry; to determine the relative importance of the variables; to examine the
interaction among variables. The data obtained through personal structured questionnaire interviews were analyzed and provided
a ranking of twenty-six variables relevant to the elimination process. Moreover, the Johnson's Hierarchical Clustering Schemes
was applied to determine the interaction among variables. The results indicate that profitability and financial variables
are most significant in the elimination decision-process. Second, the primary clusters of importance are concerned with market
share, market growth rate, consumer awareness, and competitive action.
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