Reduce Price to Improve Revenues and Margins

CHOICE 1 OBJECTIVE: ATTRACT CUSTOMERS

CHOICE 2 SEGMENTS: LOSS LEADER SEGMENT / A SINGLE SEASONAL PRODUCT

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

No. SIC Year Notes
1 5812 1993 McD's prices its videocassettes for promotion and not profit. In 1992, Orion Pictures gave McD's the rights to sell "Dances with Wolves" over the holiday season. Video stores were excluded. Retail price was $99.98, McD's sold for $7.99.

<< Return to Choice 3