10 Aug Implementing Pricing Strategy
Please respond to the following:
- Determine which area you believe provides the greatest challenge for organizations implementing new pricing strategies. Support your argument with specific examples.
classmate post (please respond)
Implementing a new pricing strategy can be very beneficial for an organization or is can have bad consequences. New pricing strategies are usually implemented for a number of reason, but the two most common would be to increase or lower price. Lowering the price can present challenges such as devaluing the product or service, but it is mostly receptive by the customer because they are getting the same product at a lower price. Although, there may be instances where a well like in the case of Fire Fighter Turn Out Bag where lowering the price by swapping materials hurt the company. The company recycles old fire fighter gear, and turns them into various bags. However, the company went down drastically when they started producing a lower cost bag made from printed material. Needless to say the company realized the problem and now continues production of the cheaper bag and the expensive recycled bag.
On the other hand the greatest challenge for organizations implementing a new pricing strategy is customer satisfaction. In the book on page 270, there is a small passage titled “Exploring New Ways to Manage a Price Increase: Lessons from Netflix”. In the text it explains the outrage of customers when the company raised prices of it’s services by up to 60% in June 2011. Over 10,000 customers turn to social media, blogs, letters, and other correspondence in their dissatisfaction, 1 million customers had canceled, and Netflix lost more than half of it’s value within two months. This clearly indicates that the customer dissatisfaction is by far the greatest challenge for organizations implementing a new pricing strategy.
Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.
About Writedemy
We are a professional paper writing website. If you have searched a question and bumped into our website just know you are in the right place to get help in your coursework. We offer HIGH QUALITY & PLAGIARISM FREE Papers.
How It Works
To make an Order you only need to click on “Order Now” and we will direct you to our Order Page. Fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.
Are there Discounts?
All new clients are eligible for 20% off in their first Order. Our payment method is safe and secure.