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Utility, Elasticity, and Demand

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Assignment 2: Utility, Elasticity, and Demand
M2:A2

8/20/2013
ECO 202
Sherrice Hodge

Sherrice Hodge
ECO 202
M2:A2
8/20/13 I have been placed in charge of designing a product campaign for a new shampoo called Lovely Hair, which must include the components of marketing, pricing, and distribution. The ultimate goal of this campaign is to provide affordable hair care to every woman in order to make them feel gorgeous and confident outside as well as within. Lovely Hair is the secret to having irresistibly soft and shiny hair accompanied with an alluring fragrance so your beauty can shine every day. Lovely Hair is manufactured by Beautiful People and Lovely Hair products can be found in mass merchandise stores, supermarkets, and drug stores and online as well. Lovely Hair’s mission is to make every woman feel like the goddess that they are, by making her hair delicately smooth and soft with a scent so entrancing. We want women to feel ravishing and confident within their skin and encourage them to confess their beauty each and every day. Lovely Hair can provide the best natural hair care ingredients in order to completely satisfy your every need. We took the time to research what our hair needs in order to be healthy and strong and to make sure that we provide a safe product that women can enjoy. Even our packages are made out of recyclable materials to keep the environment safe. In order to achieve the ultimate goal of this campaign, I have broken down my strategy into four categories. These categories are consumer buyer behavior, target market, pricing strategy, and microeconomics factors. In order to understand consumer buyer behavior, we must first understand consumer utility. Consumer utility is the satisfaction obtained from consuming a good or service (McConnell, Brue, & Flynn, 2010).
Now that we understand what consumer utility entails, I can

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