Raise Price to Improve Revenues and Margins

CHOICE 2: ISOLATE THE SEGMENTS WHO MUST PAY THE PRICE INCREASE

D. Segments of customers where competyitors are likely to be unwilling to counter the company's change in Value

Customer segments purchasing during a period of unbalanced supply and demand

No. SIC Year Notes
1 3312 1997 British Steel has announced that they will raise their flat-rolled steel pricing by up to 7.5% on December 28th to reflect strong steel demand in the UK and throughout Europe.
2 4512 2004 The common denominator on the highest-fare routes is lack of consumer choice. Despite brutal competition, airlines still can flex their pricing muscle if they're the only provider of nonstop service on a particular route.
3 5735 2009 Record companies, weary of scraping by on 99-cent song downloads and dwindling CD sales, are trying to dress up and reimagine their most profitable product—the album—to woo music fans on Apple Inc.'s iTunes store. Song prices on the iTunes store are set for an overhaul. Instead of the longstanding across-the-board price of 99 cents, songs will be priced on a three-tiered system, with new releases or hits costing $1.29, and older tunes at 69 cents. Those occupying the middle ground will still cost 99 cents.
4 6531 1999 A few full-service real-estate brokerages have raised their commissions to 7%.
5 9311 2002 Near Los Angeles, which has the worst traffic in the country, a private company in 1995 constructed toll lanes down the center of the Riverside Freeway. Although residents argue that the arrangement leads authorities to neglect the free road in order to force drivers onto the paid lanes, 40,000 motorists a day pay the tolls. The income group that uses the lanes most frequently makes $40,000 to $60,000 per year, likely because these earners must rush to 9-to-5 jobs.

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