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Markpten2 Case Study

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The MarkTen2 is a product of innovation and intends to push the boundaries of the industry. With such revolution comes the threat of incorrect pricing which may lead to the diminishment of a product before it even starts. Altria is a company that strives to provide value to the customer; allow the benefits each individual receives from the MarkTen2 to have far more impact than the price to have it. Altria intends to approach the MarkTen2 pricing as a mix of both demand and competition-orientated focus. As the electronic cigarette market has shifted away from Altria to other competitors, the MarkTen2 price will penetrate the market with a perceived discount compared to competition while taking full advantage of what the company knows the…show more content…
This pricing objective allows Altria to focus on both gaining sales and increasing market share. Altria is fortunate to have a strong financial position that it is able to sustain lower introductory margins in order to beat out competition and gain market prominence. Constraints must as well be addressed before they become a threat to both the product and the brand. The MarkTen2 intends to capitalize on the consumer demand for both the product and the brand. As electronic cigarettes become a more popular alternative to regular tobacco products and an interest to non-smokers, the new and innovative product will position itself out of the unhealthy eye and serve a better purpose to the end consumer. It is obvious that Altria as a brand is a giant in the industry and has a methodology to both gain and retain loyal customers. The MarkTen2 will serve as a beneficial compliment to the direction Altria is headed and the future of the tobacco
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