Pricing

Remember “Niche Marketing”

Posted by on November 13, 2012 at 8:47 am

Remember how we assumed that markets were already well-defined,”mature” and of relatively fixed size, so we fought only for a fractional piece of them.”Nobody bothered to figure out what if everybody settled for a fractional piece, and nobody made an effort to expand the market, the end result a no growth profit zone. Not many enteprises [...]

Difficulty Of Defending Big Business

Posted by on December 7, 2011 at 8:44 am

Within the context of the prevailing rhetoric, a head-on attempt to defend business on the issues would be doomed to failure. All the arguments sound like lame excuses: “No, we aren’t to big fail; “No, our profits aren’t unreasonable;” “No, our factories don’t pollute;” “No, we respect your privacy;” “No, our prices are not too [...]

Wal-Mart Cares. Wall Street Does Not Care.

Posted by on November 16, 2011 at 10:33 am

Wal-Mart is sticking to low prices. Wal-Mart profits fell 2.9% from a year ago.  Wal-mart’s margins will continue to fall because they are investing in low prices for the holidays. Basically, Wal-Mart is lowering them or if they receive higher prices from their vendors, they are not passing those increases along.   Wal-Mart is also [...]

More For Less. Less For More.

Posted by on September 15, 2011 at 10:53 am

I do not understand the logic behind P&G and Kraft raising prices and at the same time reducing package sizes. Their strategy of less for more is especially egregious during these tough times. They should be doing the exact opposite. They’re pricing strategy should be more for less. They both claim that they are consumer-oriented [...]

Anheuser Busch And Their Customers (For The Moment)

Posted by on August 14, 2010 at 12:27 pm

I have just received an e-mail from Joe who just got back from his favorite beer joint.  He was exhausted after a 10 hour shift and was looking forward to his Bud with his buddies. He had a couple of Buds as usual and then got the check. What’s this? The check was higher then [...]