Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: RETAIN CUSTOMERS
CHOICE 2 SEGMENTS: TARGETED COMPETITOR SEGMENT / PERFORMANCE LEADER PRICE AGAINST PERFORMANCE LEADER
CHOICE 3 COMPONENT: CHANGE THE LIST PRICE
| No. | SIC | Year | Notes |
| 1 | 2840 | 1993 | In reponse to Gillette's intro of Performance Leader series line of shaving cream, S.C. Johnson began a series of price cuts which were matched by P&G and Pfizer. Johnson and Gillette's sales are up, but both are unprofitable, while other competitors are unsuccessful in both sales and profits. |
| 2 | 3663 | 2005 | Panasonic is slashing prices on its ultra thin high-definition plasma televisions. It knocked off 46% on its 42-inch model and cut the sticker price for its 37-inch model by 25%. The company sent shock waves through the industry last fall when it cut flat-panel TV prices. Plasma TV vendors are trying to lower the price difference between true high-definition sets and lower-resolution "enhanced definition" sets. |
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