1. How large is the projector market in unit terms? In 1988, the projector market in unit terms is around 31,000 (31,054) Calculation: In 1988, ElectroHome has sold 1,585 units – 1,157 (73%) data and 428 (27%) graphics ( Page 10 - 1st line ) In 1988, ElectroHome has 11% of the data market and 44% of graphics projector market (Page 8 - Table E) Total units in market of data projectors = 1,157/.11 = 10,518 Total units in market of graphics projectors = 428/.44 = 972 Data & graphics projectors account for 37% of total units. (Page 5 - Table A) Total projector units in 1988 = (10,518 + 972 ) / .37 = 31,054 Below is a summary of the units in 1988 and projections in 1989 1988 1989 ( projected ) Video 19,564 19,579 Data …show more content…
4. Construct a price‐scan rate map (using an Excel XY plot, for example). Use the following numbers (Culled from the case): Looking at the price-scan rate map, the BV600, the S1031 and the BD600 all line up on the same value equivalent line. However, the BG400 lies north of that VEL. This implies that the BG400 is sold at a premium compared to the other projectors. . 5. Put yourself in Sony’s shoes. You look at the answers to the 4 above questions. Given your capabilities and resources, what should your strategy be? Specifically, what would you price the 1270 at? Given Sony’s superior 8” tube technology and its worldwide network of dealers, especially its 500 dealers in the U.S. market versus BPS’s 100, Sony’s primary goal should be capturing market share in the graphics projector segment. One way to estimate the price for S1270 is by using the value map from the previous scenario. After adding the S1027 data projector on the value map (as shown below), we can see that Sony has to price the projector in the range of $17,000 - $18,000(Option 1)to be on the value equivalence line. Since Sony has a strong distributor presence in the US market, it can introduce S1027 at a price lesser than $17,000 to be at a value advantaged position depending on product margins. From Sony’s point of view, if it were to price 1270 at $15,000 (option 2) this might lower the value equivalence line and put BPS’s products at a value
From Exhibit 4 we see an average increase in sq. footage of 26% per year for period 1986 – 2000 while average sales growth fall from an
FLD’s 1985 market share was 32.7% with sales of $135 million in that year. Total sales for the industry topped $620 million. (Refer to Attachment 1)
Exhibit 4: Ad Revenue Calculator TV HH Average Rating Average Viewers (thousands) Average CPM1 Average Revenue/Ad Minute2 Ad Minutes/Week Weeks/Year Ad Revenue/Year Incremental Programming Expense
With reference to the financial ratios of HTC in Exhibit 1a, over five years (2004 to 2008), its average net profit margin was 18.8%, return on assets 34.2%, and return on equity
Price will reflect a reasonable pay for the SLP- this is determined through the market demand and market research
LARGE Units sold (excluding specials) Units sold Units embroidered Units dyed Number of orders Number of shipments Number of invoices Sales dollars Acc. Bal. > 60 days 99.770 100.250 5.959 20.536 133 147 112 308.762 1
So the price of four Zink servers, $6,800 dollar, also equals 2 Tronn servers with PESA software. So the price of a Tronn server will be $3,400 dollar using the competition-based pricing. Customers will notice that there are no price difference anymore. The PESA software made the Tronn server attractive to a lot of customers but the software is not always working on all software applications. Customers than have to buy 4 Tronn server for twice the price of Zink servers. Customers would than consider not to buy the Tronn servers because they don’t see it as a fair price compared to the Zink servers.
When trying to determine the correct price, a number of factors must be considered: the market and its segments, the size of each segment, the ability to reach each segment, what distribution channels to target, whether to vary price by segment, the usefulness of promotional offerings, and whether the goal is to skim or penetrate each market.
The below analytical graphs will depict and projects potential sales/gross margins figures from year to year when operational. Overall sales of $70 000. Financial statements (profit/loss, cash flow and balance) have been prepared to depict financial operations for the first month of operation as well as if business was to remain operation for 3 consecutive years.
Of these four comparable projects including the client’s development, the average units sold per quarter since launch ranges from approximately 29 to 60 units. It must be noted that projects will normally have a higher sales rate when they are recently launched.
Since BD700 is clearly inferior to Sony 1270 in terms of performance, it cannot be positioned higher. Hence, the development of BD700 should be put on hold immediately and BPS should instead focus on developing the BG800. The cost of developing the BG800 in time for the InfoComm should be compared against the cost of a BPS initiated marketing campaign to promote the BG800 and the pace of its
Q1. What are the key differences between Sony's and Bacro's strategies as far as their product roll out is concerned prior to Aug 1989 in the projector market (that is, you need to compare and contrast the chronological order and the scan rate/prices/other features of the models that both players introduced in the market prior to Aug 1989)? Why is it that both players were playing such different strategies prior to Aug 1989?
Both, companies C and D have adopted lower price strategy but used different methods to keep their cost down and different ways to advertise their houses. Clearly, both companies are successful in attracting buyers to buy their properties by using their lower price strategy. Even company C’s products are a little bit expensive than company D’s, but company C has built a higher quality product over company D. No matter which company gets the higher profit, both run successful businesses of small and medium size in the Taiwan construction industry.