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VikaD [51]
3 years ago
13

Firm A plans to introduce a new smart phone which has a potential market of 1 million customers. The marketing research conducte

d by the firm shows that 40% of the customers will buy t if the phone is priced at no more than S300 and the other 60% of the Customers will only buy it if the phone is priced at no more than $250.
Which of the following pricing strategies is best to help the firm achieve its maximum revenue?
a. Price it at $250 and $300 and use a discrimination strategy to reach the two segments of the market
b. Price it at the middle of the two prices ($250+$300y2-$275)
c. Price it at $250 and use the pull strategy
d. Price it at $300 and use the pull strategy
Business
1 answer:
kupik [55]3 years ago
5 0

Answer:

a. Price it at $250 and $300 and use a discrimination strategy to reach the two segments of the market

Explanation:

In order to maximize the revenue the price must be applied. But at the same time the first have to use the price discrimination strategy for reaching the two segments

So, The maximized revenue is  

= (1,000,000 × 0.40 × $300 ) + (1,000000 × 0.60 × $250 )

= 120 million + 150 million

= $270 million

SO it would be lies in middle of $250 and $300

Hence, the first option is correct

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Airlines can price discriminate for seats on a plane by determining people's – to pay for different types of seats. although not
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Ginger's hotel ran an occupancy rate of 85% and her competitive set had 150,00room nights included within it there were availabl
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Answer:

The approximate occupancy rate index last month was 112%.

Explanation:

According to the data, we have the following:

Ginger’s occupancy = 85%

Its competitive set has 150,000 rooms. The total sold was 115,000 rooms in the month.

So, to calculate the  the approximate occupancy rate index last month, we calculate first occupancy rate of the competitive set = 115,000/150,000 = 0.7667 = 76.67%

Hence competitive set occupancy = 76%

Therefore, occupancy rate INDEX = ginger’s occupancy/competitive set occupancy

= 85%/76 %

= 1.1184  =112%

The approximate occupancy rate index last month was 112%.

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