Reduce Price to Improve Revenues and Margins
CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS
CHOICE 2 SEGMENTS: PRODUCT SYSTEM COMPONENT SEGMENT / DISPOSAL COSTS
CHOICE 3 COMPONENT: OFFER A TRADE-IN ALLOWANCE
| No. | SIC | Year | Notes |
| 1 | 7841 | 2005 | The transformation of Blockbuster into a home-entertainment store is well underway. Whereas once about 80% of an average store was dedicated to rentals, now its closer to 65%. Blockbuster will give you between $5 and $10 in store credit for your unwanted DVDs and then resell them for $10 to $15. Trading is an area where giants like Wal-Mart don't play. Blockbuster is also focusing on its videogames, 15% of its revenue. |
| 2 | 1542 | 1992 | New "Class A" buildings have made aggressive concessions including free rent, assumption of unexpired leases. |
| 3 | 1521 | 1990 | Kaufman offering to buy the home or condo of anyone who wants to trade up to a Kaufman & Broad home. CEO figures that with its mortgage finance unit, it's cheaper to hold on to someone else's smaller home than to sit on one of his. |
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