Operations Management
Operations Management
17th Edition
ISBN: 9781259142208
Author: CACHON, Gérard, Terwiesch, Christian
Publisher: Mcgraw-hill Education,
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Chapter 20, Problem 2PA
Summary Introduction

To determine: The need captured by conservation of water.

Introduction: Kano model is product development and customer satisfaction theory which was developed in 1980’s. The model classifies customer preference under five category.

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A manufacturer of a wearable fitness tracker has identified two groups of consumers for its product: occasional exercisers and competitive runners. Occasional exercisers, on average, have lower values for fitness trackers than competitive runners. Additionally, occasional exercisers attribute almost no extra value to a “friends” feature that lets you keep track of and compete with other users, while competitive runners, on average, value the friends feature. The manufacturer is considering introducing two different models. The manufacturer has determined that occasional exercisers value a fitness tracker without the friends feature at $70 and one with the friends feature at $80, while competitive runners value the two versions at $80 and $150. Suppose the manufacturer is considering three pricing strategies: 1. Market a single type of fitness tracker with the friends feature at $80 to both occasional exercisers and competitive runners. 2. Market a single type of fitness tracker with…
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