Raise Price to Improve Revenues and Margins
CHOICE 3: USE THE COMPONENTS OF PRICE TO FURTHER CONTROL THE EXTENT OF THE HIGHER PRICE
D. Change the Optional Components of Price:
Add an extra fee on top of the normal variable charge
| No. | SIC | Year | Notes |
| 1 | 3599 | 2007 | A new product from Intuitive Surgical is allowing doctors to perform safer and less traumatic prostectemies. The surgical system is the only one of its kind approved by the FDA and rivals are years away from FDA approval. Intuitive Surgical has generated high revenue and its newest model, the S-series has jumped in price by 16% annually. The company also benefits from the sales of accessories, service and training. Recurring revenue accounts for 51% of the company's sales. |
| 2 | 4512 | 2009 | Shop for airline tickets online or through a travel agent and the price quotes you get don't tell the whole story these days. But that's about to change. Without fees, a $193 round-trip fare between New York and Fort Lauderdale for travel later this month on US Airways Group Inc. looks cheaper than a $197 fare at JetBlue Airways Corp., for example. But if you're checking two bags, you'll pay $80 in fees on US Airways and only $40 on JetBlue. |
| 3 | 5812 | 2004 | Software is being developed that makes real-time sales pitches based on the change the customer is about to receive. The software, which runs on a cash register, instantly generates a discount offer for another food item based on the changes (71 cents) that would be returned on an "even" amount ($5, in this case). Approximately 35% of all spare-change offers are accepted. |
| 4 | 6211 | 1998 | Prudential is levying an annual fee of $50 on clients for the privilege of maintaining a basic account at the firm. The fee is comparable to fees rivals have had for years. |
| 5 | 9311 | 2002 | In New York, where the Port Authority imposed a greater toll for drivers using the bridges and tunnels into Manhattan during rush hour, drivers using E-ZPass pay $5 at peak times and $4 at all other times, while those paying cash always pay $6. A higher peak toll could reduce traffic and send more drivers scurrying to commuter rail or subway trains. |
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