Answer: Razor and blade strategy
Explanation:
The Razor Blade Model is a model that is used by companies to deeply discount or give away a core product hoping that the consumers will buy the more expensive and complementary dependent products.
The razor and blades business model is a model whereby one item is sold at a cheaper price or sometimes given for free so as to increase the sales of its complementary good. For example, ink catridges are required for inkjet printers and software and accessories are used for game consoles. So, selling ink catridges at a low rate can lead to more sales for inkjet printers.
Answer:
I don't understand what you are asking
Answer:
The multiple choices are:
a. $1132
b. $1044
c. $ 962
d. $1153
e. $ 988
The correct option is C,$962
Explanation:
The price a rational and prudent investor like me would be willing to pay for the bond today is the present worth of future cash inflows receivable from the bond issuer,which comprises of annual coupon interest and the face value at maturity.
=-pv(rate,nper,pmt,fv)
rate is required rate of return expected by investor of 10%
nper is 5 years since the investor intends to hold the bond for 5 years
pmt is the annual coupon interest=$1000*9%=$90
fv is the face value of $1000
=-pv(10%,5,90,1000)=$962.09
The current price is $962
Answer:
a. Maturing of a product
When the product reaches its maturity stage, its sales volume reduces considerably. This would require different marketing strategies like product enhancement, price changing or developing new designs, etc.
b. Technology innovation in the manufacturing process
This will cause many changes in the strategy as technological innovation would reduce manual labor cost. Also, the organization would need skilled employees to deal with the new technology.
- Cost cutting is instituted.
- Product changes decrease.
- Design compromises are instituted.
- Labor Skills decrease
- Optimum capacity may be achieved
- Manufacturing process stabilizes
