Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 ISOLATE SEGMENTS: LOCATION SEGMENT
CHOICE 3 COMPONENT: CHANGE THE BENEFIT PACKAGE
No. | SIC | Year | Notes |
1 | 3571 | 2001 | Dell is putting its personal computers in places and markets it has long shunned. The biggest seller of PCs to businesses has quietly set up Dell Direct retail-store kiosks at shopping malls. It has hawked PCs on the cable-shopping channel and Dell has begun targeting the bargain-basement crowd with $599 computer packages. |
2 | 4812 | 2009 | Sprint Nextel Corp.'s Boost Mobile plans to offer an unlimited nationwide calling plan for $50 a month, a bid by the youth-oriented wireless service to severely undercut rivals. The move could spark a price war in the cutthroat wireless industry. Leap and MetroPCS offer similar flat-rate services without a contract, but the calls are limited by region. While some of Leap and MetroPCS's basic plans are cheaper, extra services such as text messages and roaming charges add to the phone bill, so a comparable plan would run around $60. |
3 | 6021 | 1986 | Says Bank of America vice president: "You don't see a U.S. corporation using a foreign bank as their major bank, but they will use Japanese banks as supplements because of their low prices." |
4 | 7372 | 2004 | In an effort to slow the spread of Linux overseas in developing countries, Microsoft is lowering its prices. Microsoft is even considering creating a lower priced and fewer features version of Windows, "Windows Lite," for developing countries below a certain per-capita income, and which would be distributed through government-PC programs. |
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