For the most part smokers are relegated to outside and uncomfortable areas in public because so many non-smokers are offended by cigarette smoke. In response to what was viewed as a consumer need, RJR Nabisco Holdings Corp spent $425 million developing a smokeless cigarette called Eclipse, and many more dollars promoting and distributing the product. The product was a flop, and RJR Nabisco was forced to implement a _____ strategy by withdrawing the product from the market.
A) trading down
B) produce alteration
C) diversification
D) repositioning
E) product-mix contraction

Question

Quizplus · Accepted Answer

RJR Nabisco's decision to withdraw the Eclipse smokeless cigarette from the market is an example of a product-mix contraction strategy. This strategy involves reducing the number of products offered, typically due to poor sales, changing market conditions, or strategic realignment.

For the Most Part Smokers Are Relegated to Outside and Uncomfortable