1. What are the advantages and disadvantages to Rita of accepting the Time Warner offer? Think carefully through the process that Rita would have to go through to switch telephone services. What would you do in her place? Advantages:
A. VOIP converts phones calls into data, the integration of telephone, TV, and data is extensive. Rita will be able to access complete call lists on their PCs, send pictures from cell phones directly to set-top boxes and easily manage computer-based telephone address books. B. No longer distant charges with digital telephone.
C. The physical location of equipment doesn’t matter as long as it’s connected to a broadband modem. D. A basic package with standard features for one price.
E. A better service provided by Time Warner rather than the low price. F. More features in the future which means the potential advantages. Disadvantages:
A. The voice quality cannot compete to the regular telephone service. B. Loss of power means loss of telephone services.
C. A higher price in contrast to other providers.
If I were Rita, I would not accept Time Warner offer since as it is mentioned clearly in the case that what Rita really cares about is to lower the cost. Considering the large number of companies available in the market which offer the comparable digital telephone services at a lower price, it is reasonable for Rita to reject the Time Warner offer but to consider the alternative choices.
2. Write the first part of a marketing strategy statement for the Time Warner digital telephone offer? Include the target market and planned product positioning. The first part of the marketing strategy statement describes the target market; the planned product positioning; and the sales, market share, and profit goal for the first few years. As it is stated in the case that Time Warner did not offer its service at the drastically reduced price, it would rather compete on the basis of the...
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