Raise Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: RAISE PRICE, RAISE PERFORMANCE AND COST BY SMALLER AMOUNT
CHOICE 2 ISOLATE SEGMENTS: CUSTOMER SEGMENTS WHO PURCHASE PRODUCTS WITH HIGHER COST COMPONENTS
CHOICE 3 COMPONENT: CHANGE THE BASIS OF CHARGE
| No. | SIC | Year | Notes |
| 1 | 2086 | 1986 | Margins on retail water sales about the same as on other beverages – less than 5%. But home and office delivery, which accounts for more than 80% of the water business, allows sellers to tack on $15 to $30 in monthly charges for dispensing machines. |
| 2 | 3500 | 2000 | Gateway's plan is to derive more of its revenue from service and other non-PC businesses. Such businesses as Internet access and training accounted for 20% of total sales. |
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