Reduce Price to Improve Revenues and Margins

CHOICE 1: SELECT THE OBJECTIVE OF THE PRICE REDUCTION

1. Attract Customers

Encourage initial or occasional demand from customers

No.	SIC	Year	Notes
1	1521	2006	To deal with a difficult market and skittish buyers, Mid-Atlantic Builders offered to adjust the sales price downward up to 45 days before closing if the price on one of its similar homes declines.
2	3711	2005	In response to a successful initiative by General Motors, Ford Motor Co. and Chrysler began offering employee discounts to the general public, popular models which sell well without hefty reductions were excluded.
3	5300	2007	Amazon launching new services, including Amazon Prime, to draw new consumers. The service offers unlimited two-day express shipping for free and overnight shipping for $3.99 for customers who pay a $79 yearly fee.
4	6141	2001	AmeriCredit Corp. uses specially tailored data to create their 12 different models for pricing and underwriting, which sets loans at rates between 10% & 25%.
5	7375	2004	Microsoft also offers a stripped- down service called MSN Plus for $5.95 a month but it lacks most of the compelling features of Premium except for the larger e-mail attachments.