Reduce Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS

CHOICE 2 SEGMENTS: PERFORMANCE PERCEPTION SEGMENT / UNPOPULAR PRODUCTS

CHOICE 3 COMPONENT: PROVIDE A FREE OR HEAVILY DISCOUNTED PRODUCT FROM A THIRD PARTY

No. SIC Year Notes
1 3711 1988 General Motors's Oldsmobile division recently began offering free airline tickets to Midwestern buyers of Cutlass Supreme models.
2 3711 1988 Ohio Suzuki dealers, in an attempt to restore confidence in the company's sharply criticized Samurai model, are offering a $1 million accidental life insurance policy free for one year to people who buy or lease the vehicle. Charges by the Consumers Union that the vehicle tips over too easily caused national sales of the Samurai to drop by 70.6 percent in June. American Suzuki Motor Corp., which had been selling about 6,000 of the vehicles a month from March through May, reported it sold 2,199 Samurais in June, compared to 7,479 in June 1987. American Suzuki officials also disclosed to dealers plans to offer a $2,000 discount off the Samurai's regular price for a limited time.

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