Make each strategy successful in terms of increasing profits

Assignment Help Business Economics

Reference no: EM13859948

Discuss each of the pricing strategies below. What conditions are necessary to make each strategy successful in terms of increasing profits? Explain your answer.

a. A local restaurant/bar offers discounted drinks during “happy hour,” from 5 to 6 PM on weeknights.

b. The price Company X charges for its ink cartridges is nearly as much as it charges for a printer.

c. Packs of 5 T-shirts cost $10 while an individual T-shirt costs $4.

d. Coupons for specials at a local grocery store can be downloaded from an online site.

e. Computer and appliance manufacturers promote service contracts.

f. Microsoft Office includes several programs in one package.

Reference no: EM13859948

Questions Cloud

What is economic rationale for city to enact rent controls : The notion of rent controls can be somewhat controversial. What is the economic rationale for a city to enact rent controls? What are a few unintended consequences of rent controls in large cities? Be specific.

Price-taking ?rm selling in market : A price-taking ?rm selling in a market with a price greater than the ?rm's average total cost should:

Draw-accurately label graph that reflects market for corn : Assume that the demand for ethanol, a corn-based alternative fuel, decreases. As a result, ethanol producers petition the Environmental Protection Agency (EPA) to raise the allowable amount of ethanol in gasoline blends from 10 percent to 15 percent...

Demand and supply for autographs by the teammate : The market for autographs by a superstar baseball player during the 1950s and 1960s indicates that while the player’s autograph is not rare it remains highly desirable and of relatively high price to collectors. Use one graph to show both the demand ..

Make each strategy successful in terms of increasing profits : Discuss each of the pricing strategies below. What conditions are necessary to make each strategy successful in terms of increasing profits?

Chain of movie theaters : You run a chain of movie theaters, so you commission a marketing study that categorizes your potential customers into 10 equal-sized groups according to what they’re willing to pay for a movie ($10, $9, $8, $7, $6, $5, $4, $3, $2, $1).

Marginal cost-what is the profit-maximizing price : Suppose you have 10 individuals with values {$1, $2, $3, $4, $5, $6, $7, $8, $9, $10}. Your marginal cost of production is $2.50. What is the profit-maximizing price?

Non-military operation of a large operation : Thomas works in a non-military operation of a large operation that does both non-military and military goods. This company discontinued the production of non-military goods and transferred Thomas to a plant that produced military goods.

Spend on bagels and other goods throughout the year : The Einstein Bagel Corp. has used a frequent buyer program whereby a consumer receives a stamp each time she purchases one dozen bagels for $6. After a consumer accrues 10 stamps, she receives one dozen bagels free. Given this information, construct ..

User Account

All Pages