ook food. However, it is often awkward and annoying to figure out the correct cook time and power for a microwavable product. We have researched a possible new product that could simplify microwave ovens. The SmartWave is an intelligent microwave oven that determines a products cook time and power by scanning the Universal Product Code from the package. 2.1 Market ObjectivesThe following paragraphs describe the target market, potential competition, and market capacity for the SmartWave product.2.1.1 Target MarketFour target markets segments have been identified for the SmartWave: consumers, convenience stores, hotel/motel enterprises, and other institutional customers. Refer to section 0 for a definition of each of these market segments.2.1.2 CompetitionBecause the SmartWave is a new product concept, current competition is limited to conventional (non UPC-scanning) microwave ovens. Future competition should be expected, however, as other competing manufacturers begin to produce UPC-scanning microwave ovens.2.1.3 Summary of Market ResearchMarket research indicates that there are currently 46 million microwave ovens in use in the U.S. today, and that this number is growing by 1.1 million units per year. An additional annual sales volume of 15.4 million units is seen due to replacement of worn-out or outdated units, for a total annual market of 17 million units in 2000. Section 0 discusses goals for penetration of the SmartWave into these markets.2.2 Financial GoalsGoals for sales, market pricing, and profits, both short- and long-term, for the SmartWave are described in the following paragraphs.2.2.1 Market GoalsResearch indicates that market response is unpredictable when introducing new technology into existing products. Initial market penetration can range from 1% to as high as 9%, depending on the market, the level of technology involved, and marketing strategies [10]. For the SmartWave, we are predicting an initial market pe...
