MarketingManagement.pdf

206 CHAPTER11 DESIGNING ANDMANAGINGSERVICES customers are flocking to no-fee credit cards with frequent-flier miles and other be ...

Marketing Strategies for Service Firms 207 Gap between consumer expectation and management perception:Management does not alway ...

208 CHAPTER11 DESIGNING ANDMANAGINGSERVICES drinking water 8 days a year. Companies can be distinguished between those offering ...

Marketing Strategies for Service Firms 209 systematic approach for addressing service failures.^27 They also found that companie ...

210 CHAPTER11 DESIGNING ANDMANAGINGSERVICES Design a more effective service. For example, hiring paralegal workers reduces the ...

Managing Product Support Services 211 and financing. They may also add value-augmenting services.Look at Herman Miller, a leadin ...

212 CHAPTER11 DESIGNING ANDMANAGINGSERVICES Customers are becoming more sophisticated about buying product support services and ...

Notes 213 (such as facilitating services and value-augmenting services) and postsale services (cus- tomer service departments, r ...

214 CHAPTER11 DESIGNING ANDMANAGINGSERVICES (1994): 5–13; John R. Hauser, Duncan I. Simester, and Birger Wernerfelt, “Internal C ...

A ll for-profit organizations and many nonprofit organizations set prices on their goods or services. Whether the price is calle ...

216 CHAPTER12 DESIGNINGPRICINGSTRATEGIES ANDPROGRAMS SETTING THE PRICE A firm must set a price for the first time when it develo ...

Setting the Price 217 ignoring the effects of other marketing-mix variables, competitors’ reactions, and legal restraints on pri ...

218 CHAPTER12 DESIGNINGPRICINGSTRATEGIES ANDPROGRAMS ➤ Part of the cost is borne by another party, ➤ The product is used in conj ...

Setting the Price 219 Price elasticity depends on the magnitude and direction of the contemplated price change. It may be neglig ...

220 CHAPTER12 DESIGNINGPRICINGSTRATEGIES ANDPROGRAMS the market; even A will consider leaving. Then TI will pick up the business ...

Setting the Price 221 Next, the firms examine each cost element—design, engineering, manufactur- ing, sales—and break them down ...

222 CHAPTER12 DESIGNINGPRICINGSTRATEGIES ANDPROGRAMS The manufacturer’s unit cost is given by: Unit cost
variable cost fixed c ...

Setting the Price 223 According to this break-even chart, the total revenue and total cost curves cross at 30,000 units. This is ...

224 CHAPTER12 DESIGNINGPRICINGSTRATEGIES ANDPROGRAMS Value Pricing Value pricingis a method in which the company charges a fairl ...

Setting the Price 225 to achieve maximum profits in the long run. However, firms that bid only occasionally or that badly want t ...