1. What is Quartz value proposition to customers? To plumbers? 2. Why is the Quartz shower not selling?
3. What should Rowlinson to do to generate sales momentum for the Quartz product? What is the best action plan in terms of targeting? Should he lower the price?
2. B&D case question
1. What is the cause of B&D 9% share and Makita's 50% share? 2. Describe buyer behavior of tradesmen.
2. Analyze the competitive situation
3.Choose the action the action plan on page 10
3. XM case
Case Discussion Question
1. What is the value proposition of XM to different consumer segments? Who should be the primary target for XM? 2. What aspects need to be considered in pricing the radio receiver and subscription fee? What is the optimal price for monthly subscription? Assume a five-year lifetime for a customer. How would your answer change if the lifetime was longer or shorter? 4. What aspect needs to be considered in allowing advertising to run on XM’s service? How does the fact that the firm could also earn money on advertising affect the optimal subscription price? 5. What are the implications of the expected launch plans for XM’s rival Sirius?
4. Virgin Mobile
1. Cell phone industry is notorious for high customer dissatisfaction. Despite the existence of service contracts, the big carriers churn roughly 24% of their customers each year. Clearly, there is very little loyalty in this market. What is the source of all of this dissatisfaction? How have the various pricing variables (contracts, pricing buckets, hidden fees, off-peak hours etc.) affected the customer experience? Why haven’t the big carriers responded more aggressively to customer dissatisfaction? 2. How do the major carriers make money in this industry? Is there a financial logic underlying their pricing approach? 3. Do you agree with Virgin mobile’s target selection? What is the risk associated with targeting this segment? Why have the...