Reduce Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS

CHOICE 2 SEGMENTS: PERFORMANCE PERCEPTION SEGMENT / A BRAND WITH PERFORMANCE (I.E., FUNCTION, RELIABILITY AND CONVENIENCE) AT THE LOWER END OF THE BRAND CATEGORY

CHOICE 3 COMPONENT: CHANGE THE LIST PRICE

No.	SIC	Year	Notes
1	2082	1991	Performance Leader products are on the lower end of the Performance Leader spectrum. For example AB offers Michelob and Miller offers Lowenbrau as Performance Leader products. They possess less in the way of performance especially in the area of taste and image. As a result these products are priced lower than imports (such as Heineken or Corona) and microbrews (such as Anchor Steam).
2	2711	2003	The price shaver in today's newsprint market is pricing at $15 off on a $500 base price, or roughly 3%. The companies that are particularly bad at service may be as much as $30 off on a $500 base price.
3	2844	1992	Colgate copied P&G's upright toothpaste dispenser 1.5 years later. Colgate's upright sells for 15% less than P&G's neat-squeeze and 15% premium to regular tube.
4	2844	1992	Colgate copied P&G's upright toothpaste dispenser 1.5 years later. Colgate's upright sells for 15% less than P&G's neat-squeeze and 15% premium to regular tube.
5	3523	1993	JI Case is discounting 5-8% off the Standard Leader John Deere product. JI Case's CEO said in a 1989 article that "…(my) objective is to produce such a quality product that customers and dealers won't flinch when I raise prices on new models or refuse to sell my machines for less than the comparable John Deere models." According to a John Deere dealer, JI Case continues to discount today. Weak competitors such as Massey-Ferguson are discounting heavily, up to 15% off the John Deere price. In spite of the lower prices, Massey-Ferguson is still losing share.
6	3571	1992	Compaq's new computers are priced about 15% higher than similar machines w/ fewer advanced features by Dell & AST Research, and 15-20% lower than comparable models by Toshiba and IBM.
7	3571	2001	Junking its Dreamcast machines, which it introduced a little over a year ago, leaves Sega with a costly inventory of more that two million machines; it plans to slash the $99 price to clear them out.
8	3711	1988	Hyundai's new car is priced about 17% below the base price of the Honda and Toyota cars it's aiming to compete against.
9	3711	1989	Nissan is trying to distinguish the next-generation Stanza compact from its slow-selling forebearer by cutting the base price to $11,450 from more than $12,000 and adding a four-cylinder, 12-valve engine that generates significantly more horsepower.
10	3711	1994	Using a sales-weighted average, Detroit's cars will typically cost $1,700 less than Japan's this year. Comparing base prices, others put the gap as high as $3,100.
11	3711	1996	How much do one of these trucks go for? $70k and up depending on wheelbase. A Mack would be $70k, and a International might be $73k. So there’s quite a difference.
12	4512	2004	In a major shift, America West Airlines will add some new first class tickets that are 50% to 70% off the carrier's standard rate. The move is likely to trigger a fresh round of price competition, as bigger airlines act to match those fares, particularly on nonstop routes where they go head to head with America West.
13	4833	1997	Ad rates on network TV are an average of 25% higher for broadcast than for cable, even when the programming reaches exactly the same number of viewers.

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