Raise Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: RAISE PRICE WITH NO CHANGE IN PERFORMANCE AND COST

CHOICE 2 ISOLATE SEGMENTS: SEGMENTS SERVED BY COMPETITORS LIKELY TO FOLLOW THE PRICE INCREASE

CHOICE 3 COMPONENT: CHANGE THE BASIS OF CHARGE

No. SIC Year Notes
1 1381 1986 OPEC members have in recent months started to sell their crude on the basis of "net back" arrangements. Under this, producers offer buyers crude oil at prices tied to quotes for refined products.
2 4111 1989 Federal Express is junking its flat-rate price structure and will now charge for its package-delivery services according to the distance a parcel travels. So rates will go down for short-distance packages and up for long-distance. One year ago, UPS did the same thing.
3 4899 1989 Subscribers to both Cellular One & GTE Mobilnet not only pay for the outgoing calls they make, but for the incoming calls as well.

<<Return to Choice 3