Answer

A Report of Product Name Decision

TO: Estrella Hortada, ACME Marketing Vice President

FROM: General Manager

DATE: July 17, 2017

SUBJECT: A Report of Product Name Decision

 Deciding the name to use when introducing a new product into the market is very important for penetration of the product in to the market. Product name significantly contributes to creating impression and propensity in customers to buy the product (Barney & Del Monaco, 2017). For this reason, most companies have become serious with their product’s names and processes for generating a new name for a new product. In their thoroughness, companies ensure that the development of the new name is done in a manner that comply with the law and describes the product. This memo provides an informal report for ACME Automotive Inc. product name decision for the newly produced hybrid sports cars.

Deciding New Name for the Hybrid Product

 A new product name has to be strong, takes legal advices as we research results into consideration (Ojala, 2017). According to New Product Development, giving a new product a unique name is a milestone an organization has to undertake. Achieving this ensures that the name is specific, it meets customers’ preferences as well as casting out all doubts. As such, the marketing department must involve professionals such lawyers to conduct preliminary research concerning the suggested names. Although, a product name may seem small, it can actually result into closure of the whole company through legal procedure

AMCE Automotive Inc. sports cars division suggested three names for the hybrid sports cars and they include EcoZoom, GreenSpeed and ACME Hybrid. Since deciding a new product name is a daunting process with myriads of issues that need to be observed. It was incumbent upon the division to consider a number of issues both legal and ethical. Although the name GreenSpeed appeared to be the most appealing one in the market, the choosing it would result into legal infringements. As advised by the company layers, when extensive search was done, it was revealed that both GreenSpeed and EcoZoom were already being used by others. Since the name GreenSpeed is already being used by another company hence, using it would result into trademark infringement. Infringing trademark involves is an action that can cause the firm to be prosecuted hence, it is advisable to drop the name all together. On the other hand, choosing ACME Hybrid would not resulted into any legal infringement. Nevertheless, the name is not selected because it has less influence in redirecting customers’ decisions to buy the newly produced brand. Since the product is new in a competitive market, the name selected should be able to attract the number of customers to the company.

The name EcoZoom is selected as the best name on three basis. To begin with EcoZoom is indicated to have an averagely good acceptance in the market following the survey results. However, the marketing department has to do more work to increase the acceptance of the new name in the market. Secondly, the legal search delineates using this name will not lead to any known legal infringement since no other companies has ever registered a product under the name. The name is however, used by a small company which is operating a different product line. Furthermore, the company has not patented the name. Lastly, the name, EcoZoom, in a way describes the hybrid sports cars as compared to the rest of the suggested names.