Term
Factors that influence price |
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Definition
stage of the product life cycle
competition
quality
ability to bundle products |
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Term
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Definition
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Term
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Definition
To a customer its a cost
To a business its a revenue
Price is what is given up in exchange |
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Term
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Definition
Profit Oriented
Sales Oriented
Status Quo Orientation |
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Term
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Definition
Supply: is the quantity of a product that will be offered to the market by a printer at various prices for a specific period of time
Demand: Is the quantity of product that will be sold in the market at various prices for a specific amount of time |
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Term
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Definition
Customers responsiveness to change in price
Elastic Demand: Customers buy more or less when the price changes
Inelastic Demand: changes in price wont significantly change price |
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Term
Factors Influencing Elasticity |
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Definition
availability of substitutes
degree of necessity to customer
proportion of customers budget consumed by purchase
time period considered
permanent or temporary price change
price points |
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Term
Factors that can influence price |
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Definition
stage of the product life cycle
competition
perceived quality
ability to bundle products |
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Term
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Definition
1.pricing must have value to the customer to facilitate change
2. prices must not be too high or too low
3. revenue=unit price * no. of goods sold
4. prices can be a competitive advantage |
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Term
Phil Ruggles Key Pricing Points |
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Definition
1. Profit is driven by pricing, NOT costs
2. Firm hast to find customers willing to pay the price they charge
3. perception of value by customer is key
4. service, bundled with products provide value |
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Term
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Definition
1. Price Lists
2. Price Matrixes
3. Issues with process |
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Term
Business Success is driven from... |
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Definition
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Term
Strengths of RR Donnelley |
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Definition
1. Brand and reputation
2. asset productivity/ continuous improvement
3. long run printing platform
4. good revenue base
5. good financial sit. |
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Term
Strengths of Moore Wallace |
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Definition
1. fortune 500 clients
2. cross selling success
3. focused on costs
4. focused on siginificant cash flow
5. experience in integration |
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Term
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Definition
Many small and medium sized local companies compete for small shares of total market |
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Term
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Definition
Mature industry dominated by a few large markets |
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Term
General Characteristics of Print |
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Definition
1. Highly fragmented
2. Consolidated at top end
3. Large number of niche market segments to focus on
4. high fixed cost industry
5. Manufacturing industry vs. service industry |
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Term
Five Forces that shape industry competition |
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Definition
threat of new entrants
barganing power of suppliers
" " of buyers
threats of substitutes, products or services
rivalry among existing competitors |
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