Reduce Price to Improve Revenues and Margins
CHOICE 3: USE COMPONENTS OF PRICE TO FURTHER LIMIT THE SPREAD OF THE LOWER PRICE
A. Change the Benefit Package
Change Reliability and Price together
No. | SIC | Year | Notes |
1 | 2111 | 1989 | Earlier this year, Brown & Williamson converted full-price Viceroy into a branded generic and more than doubled its market share. |
2 | 3571 | 1999 | Priced from $149 to $249, the Visor was at least one third cheaper than Palm was asking for comparable devices. |
3 | 4813 | 2003 | AT&T will offer VOIP to its customers. This will allow the company to sell cheaper local and long-distance service without having to rent local-phone lines from its archrivals. The company plans to have the service available in 100 markets. |
4 | 5500 | 1986 | Auto auctions offer big savings but also contain big risks. They rarely guarantee vehicles & don't let prospective buyers take the cars for a test drive. Sellers often use auctions to unload cars with hidden flaws. |
5 | 7372 | 1991 | Besides offering leading-edge software, Borland built its momentum on heavy discounting. The company sold its own spreadsheet, for instance, for $99 to owners of Lotus programs; that's hundreds of dollars a copy less than typical prices. |
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