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kamo | What dose it means.... marketing high quality products at low cost? |
do you have any example? |
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Nikxatrix
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Marketing High quality products at low cost in marketing terminologies is known as Super Value products. If you u make a grid of with levels of quality on x-axis and levels of prices on y-axis, you would get a price strategy grid. Depending what pricing you adopt for a particular quality of product you would land in one of the 9 sections of the grid.
- Divide the x-axis into 3 parts, low quality near to the y-axis and then medium quality and then high quality.
- Do the same to y -axis, with low price nearest to the x-axis and then medium price and high price
- In the high price, high quality section you have premium pricing
- in the high price medium quality section you have overcharging pricing
- in the high price low quality section you have rip off pricing
- in the medium price high quality section you have false economy pricing
- in the medium price medium quality section you have value pricing
- In the medium price low quality section you would be adopting a false economy pricing
- In the low price high quality section you be adopting Super value pricing
- In the low price medium quality section you be offering value pricing
- In the Low price low quality section you would be offering economy pricing
Depending on the kind of business objectives the pricing strategies adopted for product change and you could use the above grid to arrive at the best pricing for your products |
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aman v
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look dear it is not possible if you are new in the field
of company organizer and if you are stabalised so it depends on yours strategy planning how you organized it so think about it and after analysis look forward ahead
http://www.searchenginerankings.com.au |
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saorsie
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it means rip off. |
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Big Rob
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finding the cheapest yet most productive way to move your product -- word of mouth campaigns (networking) -- handing out fliers
a good example would be some of these downloadable books or various programs people are selling all over the internet. its basically information, if you want it you'll pay fot it -- i was looking at something today that the guy wanted to sell for $97 -- it was a ebook -- doesn't cost much to make and there is no printing b/c you download it -- overhead is at a minimum while profit is high |
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JFAD
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Over time China has gained market share at the expense of manufacturing centers around the world and in the U.S. China's products were considered inferior products but Chinese manufacturers have moved up the quality spectrum taking global market share along the way. By learning to compete in the extremely cost-sensitive Chinese environment they have reached a level of superiority in designing and producing goods that sell at a low price. Chinese manufacturers will follow a path similar to the entry strategies of Japanese firms in the 70s and early 80s. They will surprise their competitors at the low end by offering products that are relatively high in quality yet low in price and force the established companies into successive retreats towards the higher margin "luxury" niche segments.
Allowing the Chinese manufacturers to gain the upper hand in pushing quality up while keeping prices low is a dangerous tactic for Western firms to face since higher volume low-end firms often end up enjoying the lion's share of market profits. Low-quality firms in general are better positioned to make disproportionate gains in many product markets than producers of high-quality goods. The standard assumption has been that the cost curve is linear and that the only way for lower quality producers to become more like their high-quality competitors is by increasing quality and incurring the same costs. However, Chinese companies can raise quality without raising costs. They have new and efficient factories, an abundance of cheap labor and a willingness to use cutting-edge, lean management approaches in their facilities and this drives costs down substantially while offering reasonable quality. |
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cathy p
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Sometimes I feel this is a strap-line used by many companies in their sales literature to highlight the fact that whatever product they are bringing to you they are managing to bring it to you with low overheads without compromising on the quality of the product.
eg-
say for instance a leading data provider with 150 employees in a swanky office in London were selling a database which cost them "x£" - well, a similar yet newer data provider with say 2 employees working to get his business off the ground would have purchased same said database for same "x£" could in effect afford to pass on a lower price as there would be less overheads for them to cover. (2 employees / no swanky office)
does that make sense?/ answer your question? |
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