Reference no: EM132402798

You are Vice President, Product Development at Modus BioSystems. Modus has been considering branching out from human healthcare products into veterinary healthcare products. You have asked Carmine, a junior marketing executive at Modus, to provide some insight on whether it's realistic for Modus to gain market share in veterinary products quickly. Within an hour Carmine has sent you back an email cc'ing Ishani Sinanan, his boss, and Rajay, the CEO. The email says the following:

"You can forget about it. They did a study recently and fewer and fewer people are owning pets these days. Also, I've also asked some of my friends who have dogs or cats, and nobody thinks those things are overpriced. So even if we can get the price down, people are not likely to switch to our new product. I'd guess that people who are happy with the health products for their pets aren't going to switch brands."

You wrote back to ask some questions about this argument, but Carmine never got back to you. You think that the argument is problematic in a number of ways, and want to hire an outside firm to do some market research.

Using your own words, write a memo to Modus's CEO Rajay Karunakaran explaining why you don't want to rely on Carmine's advice. Keep in mind that Rajay has read Carmine's email. It's your task to point out at least two problems with Carmine's reasoning (those can be either problems in the logic of the argument, or in the acceptability of the premises).