...Atlantic Computer is known for providing top-notch, highly reliable products and had developed a reputation for providing high quality, responsive post-sales assistance. Atlantic Computer has produced the ‘Atlantic Bundle’ (Tronn+ PESA), 4 times faster, to compete against Ontario’s Zink in the basic server market. The challenge is to get the right pricing strategy for the Atlantic bundle keeping in mind consumer behavior as well as reaction of competitors in the same market especially Ontario. Competition Analysis Ontario is a firm focused on the low-end server market with its Zink Product line. It currently claims 50% of the basic server market share. Performance of the Zink is approximately equivalent to that of the Tronn without PESA. Ontario’s mode of sales is mostly done online as their business model aims at providing leading technology to customers by way of the most flexible and innovative supply chain strategy possible. This has led to Ontario being able to drive out non value added costs and compete on price ($1,700) since it is able to produce at a lower cost ($1,214), indicating operational efficiency. Pricing Strategy for Atlantic Bundle After careful observations of the facts surrounding our competitor as well as consumer behavior in the target market segment (refer to Appendix 1), we hereby propose for Jower to give a price of $2,436 to Day Trader Journal.com using the Value –in-use pricing strategy which is a method of setting prices in which an attempt is...
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...Case # 4: Atlantic Computer: A Bundle of Pricing Options Marketing Management II 2/11/2014 DayTraderJournal.com Price Recommendation The Value-in-Use (50/50) Pricing is the preferred pricing method to charge DayTraderJournal.com because it provides maximum profit to Atlantic while offering an extremely competitive product and value to the consumer. However, due to how conservative DayTraderJournal purchasers are, we recommend that this price is slightly reduced from $8,400 to $6,800 (profit-sharing becomes reduced to 78/22) for two Tronn/PESA bundles, to provide an equal acquisition cost of four Zinc servers. Even though two Tronn/PESA bundles provide twice as much capacity and significantly less possession costs, we believe that DayTraderJournal purchasers, who are most concerned about acquisition costs, DayTraderJournal purchasers will be turned off by a price that’s higher than the perceived competition’s ($6,800). Because the high value that the Tronn/PESA bundle provides is difficult to convey, the initial cost of the bundle should be reduced. Once Atlantic’s market share in the basic server industry becomes larger and the Tronn/PESA value is fully recognized by consumers, we believe that Atlantic can and should increase the price. Even though we propose a Value-In-Use Pricing of 78/22 (78% of the savings is passed on to the customer and 22% is kept by Atlantic), Atlantic still maintains a good profit margin of roughly 70% while saving the customer $6,000 (or...
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...ATLANTIC COMPUTER: A Bundle of Pricing Options Case# 4, Donny Hamilton June 29th, 2014 ATLANTIC COMPUTER: A Bundle of Pricing Options Case# 4, Donny Hamilton June 29th, 2014 Problem Definition: We need to develop a pricing strategy for our ‘Atlantic Bundle’ – the new Tronn Server and the PESA (Performance Enhancing Server Accelerator) software before the SME trade show.ATLANTIC COMPUTER: A Bundle of Pricing Options Case# 4, Donny Hamilton June 29th, 2014 ATLANTIC COMPUTER: A Bundle of Pricing Options Case# 4, Donny Hamilton June 29th, 2014 Basic Server Market Details: * Advent of Internet: Need of low end Performance servers or Basic Servers * Collection of these basic servers could support a company’s website * Market Demand expected to be 50,000 unit in 2001 Product: * Tronn: Server developed to cater to the Basic Server Market * We will bundle the products together! Alternative Development: Competitors: * Major Competitor: Ontario Computer Inc. * Low End Server Zink, currently 50% markets share in the basic server market * Majority Sales were generated online * Zink’s server performed at approximately the same level as Tronn’s * Rest of competitors were Local Vendors Key Factors Influencing the Pricing Strategy: * Status Quo Pricing: Matzer believed that as per the company’s traditional Software, should be given for free with the purchase of the hardware * Cost Plus Pricing: According to Matzer’s...
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...Date: 12/9/12 To: Chris Matzer, Head of the Server Division, Atlantic Computer Subject: The Current Situation at Atlantic Computer Company Introduction Atlantic Computer Company is currently in a crisis, determining how to price the Atlantic bundle is a decision that is crucial at this time. Atlantic is a manufacturer of servers and highly technological products and is currently in the process of entering a market that is led by Ontario Computers. This market is within the basic server segment, where Ontario Computers has 50% market share, meaning that Atlantic has less experience and knowledge of the market in regards to what is valued and expected. A complete evaluation and analysis of the benefits and drawbacks of different pricing strategies will help determine the proper pricing strategy. In addition to the problem of the pricing strategy, Atlantic also has to determine the proper marketing approach for salespeople to utilize in order to communicate the reasoning behind this price. Atlantic will also have to take steps in regards to problems related to our marketing organization. With the upcoming Small and Medium-Sized Enterprise Systems Solution Trade show, Atlantic has the ability to communicate our pricing strategy for the PESA software to potential customers, gauge both the competition’s and customer’s reactions to the pricing strategy and organize the Salesforce and business model in a more effective and efficient manner. Problems * First Problem:...
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...Atlantic Corp Case Study Atlantic Corporation One of America’s largest forest products/paper firms with sales of $6.5Billion in 1983 and a net income of $105 million. The case study revolves around Atlantic Corporation’s intention to add linerboard capacity. In order to achieve this goal, they started looking at viable solutions, including purchasing and acquiring mill and box plants instead of through construction and fabrication of new plants and equipment. This included the possible acquisition of Royal Paper’s “crown jewels”, that is, the Monticello mill and the corrugated box plants. Is the acquisition of Royal’s linerboard mill and box plants a sound strategic move? One of the solutions was to offer a purchase of Royal Paper’s company assets, including a linerboard mill and box plant. This is a sound strategic move as Atlantic Corporation purchases 150,000 tons of linerboard from its competitors each year which could lead to problems such as lack of supply and increased cost prices. Construction of a new linerboard mill would be time consuming and the opportunity cost of lost revenue from this may exceed the benefits when the mill becomes operational. For Atlantic Corporation, it may face two scenarios: linerboard becoming unavailable or linerboard prices increase. Both these two scenarios will be detrimental to the company’s performance and should be avoided. As linerboard’s industry sales is less responsive to market movements, signifying that it is less risky...
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...Atlantic Computer: A Bundle of Pricing Options Case Assignment Benjamin Athens, Alayna Boyd, Amanda Ferguson, Jessica Harper, & Emily Wagman MKT370W 11:00 a.m. Introduction. Atlantic Computer, a large manufacturer of servers and other high-tech products, is currently feeling the pressure of developing a pricing strategy for their product offering the “Atlantic Bundle”. Two markets exist in the server selling industry: traditional and basic. Atlantic is already a market leader in the traditional market with its product Radia, a price premium product. Atlantic is now looking to enter the basic market with its bundle offering. The basic market is new and fast growing- an opportunity that Jason Jowers, product manager of the Atlantic Bundle, knows he cannot miss. For the basic market, Atlantic has specifically developed a new server, Tronn. While Tronn is expected to be a success for mass sales in the basic market, Atlantic believes the key to marketing Tronn will be in bundling the server with a new software tool. PESA, Performance Enhancing Serving Accelerator, is proven to enhance Tronn’s server speed by four times. Atlantic however faces a bit of a moral dilemma with bringing PESA to market. Traditionally, Atlantic Computer has offered all software tools for free when sold in conjunction with their servers. In this case, the value of PESA is too great for Atlantic to not charge for its capabilities. The Atlantic Bundle will feature these two new product...
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...• Virgin Atlantic provides a very exceptional service to its customers. People have been transported with a high level of accommodation and efficiency that is not provided by their competitors such as British Airways, Qatar airline etc. Virgin Atlantic pride themselves of how they treat their customers on each flight. However, they provide, food, drinks, entertainment with advanced technology and a welcoming staff. The geographic scope in presence is minimal. “They concentrates on Europe and especially North America, and has not taken advantage of emerging markets in Asia. For instance, in Asia, the Airline operates routes to Shanghai, Hong Kong, and Delhi, only; while in the Middle East, they fly to Dubai only” Entry and Exit Barriers Both...
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...Team 7 Atlantic Computer2011. december 16. Atlantic Computer Case Study Group 7 Olivér Szabó Péter Hrobár Written by János Wicha 1 Team 7 Atlantic Computer2011. december 16. Recommendation: Use the value-in-use pricing method. 2. Recommended sales price for server: 5.500 USD/Unit 3. Recommended charge for PESA Harware as a Service (HaaS): 280 USD/month for 3 years contract. 4. For sales force new motivation package, 10% commission from every sold server and 5% from monthly fee/ month. 1. Problem statement: Jason Jowers has to develop a pricing strategy for the new Tronn server and the PESA software before the SME trade show. Server Market Overview: ● ● ● High Performance Servers ○ For Complex Applications ○ Next year marker potential 200.000 units ○ 3%/year Growth possibilities. ○ Atlantic Computer has a 20% market share. Basic servers ○ For single task, without the need of high computing performance ○ Next year market potential 50.000 units ○ Growth potential 36% till 2003 Competitor ○ Ontario Computer Inc. ZINK server is a main brand in the low end market On-line sales Low prices Company Overview: Atlantic Computer is a producer of High Performing Servers Jason Jowers joined AC four months ago and his main task is to develop the pricing strategy of the new Tronn Server with PESA support. Tronn is developed for low end market. PESA (Performance Enhancer Server Accelerator) is a software tool that was developed to allow Tronn to perform 4 times...
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...Analisis Situasi • Atlantic Computer adalah sebuah perusahaan manufaktur komputer server terbesar dan produk lain yang berteknologi tinggi, juga memiliki pangsa pendapatan sebesar 20% di segmen server berkinerja akhir tinggi. Server yang memiliki performa tinggi, yaitu “Radia” telah dijual kepada perusahaan besar dan telah dikenal akan kualitas dan reliabilitasnya serta memiliki layanan pasca penjualan yang baik. • Oleh karena adanya perkembangan di dunia internet, permintaan akan BS (Basic Servers) meningkat secara drastic; untuk memenuhi permintaan tersebut, perusahaan sedang merencanakan untuk memperkenalkan sebuah serve (BS), yaitu TRONN dengan software khusus “PESA” yang dapat meningkatkan tingkat efisiensi dari server tersebut hingga kurang lebih empat kali lebih cepat. • Mengenai kondisi competitor, yaitu “Ontario” dengan produknya yang dikenal dengan sebutan “ZINK” telah lama berada di segmen dasar dan memiliki hampir 50% pangsa pasar di pendapatan dan produk. Untuk kinerjanya, “ZINK” memiliki kemampuan yang sama dan sejajar dengan pesaingnya “TRONN”. Jason Jowers memiliki rencana untuk meluncurkan produk TRONN agar tetap dapat terjaga di dalam pikirannya, sedangkan ancaman terbesar datang dari kompetitornya, yaitu Ontario dimana sebagian besar pendapatannya berasal dari bisnis online. Beberapa rincian mendasar di pasar server • Kelahiran dari internet – kebutuhan akan server-server berkinerja akhir rendah atau BS (Basic Servers) • Koleksi dari BS ini dapat...
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...1. STEPS IN THE VALUE CHAIN ACTIVITIES AT EACH STEP IN THE VALUE CHAIN: WITHOUT THEME PARK ACTIVITIES AT EACH STEP IN THE VALUE CHAIN: WITH THEME PARK DIFFERENCE ; STRATEGIC ISSUES Step 1: Advertising and general promotion Advertising focused on traditional media locations; mostly local, and targeted to those who live within 150 miles, and are middle aged or older. Advertising emphasizes mostly new attractions to draw old and new visitors. Advertising and promotion focused on a younger audience, those with kids, promotions for families with kids stay free etc... The focus should be to middle-aged visitors as well who have more leisure-time and willing to stay longer. Difference in the amount of advertising and promotion, though the nature of the advertising will differ. Young crowd won’t like to hang out with older ones. Step 2: Local and regional transportation Most visitors now arrive by bus and stay one day; the proportion of bus visitors is also increasing. There is a need to focus on travel agents and on providing affordable bus trips for this audience. Should provide accommodations for those traveling via bus (lounge area while waiting for bus arrival, etc.) New focus likely to be on car traffic and some air travel for families, in addition to the bus traffic. Affordable air-fare packages for families might be a good idea. Enough parking space, free valet, etc. Or hotel buses for group-packages to/from airport. The transportation patterns are...
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...deployed naval and air forces of the “Kreigsmarine” and “Luftwaffe” to engage the United States and her Allied forces over the Atlantic Ocean. The Battle of the Atlantic served as the “longest, largest, and most complex” naval battle in history, resulting in 3,500 Allied merchant ships and 175 Allied warships being destroyed in addition to over 72,000 Allied casualties (Syrett, 1994). In an attempt to obstruct the movement of merchant shipping, supplies, equipment, and forces into Britain, Admiral Karl Dönitz, German U-Boat Fleet Commander, deployed several U-Boats in “wolfpack” formations to inflict fear and destruction on Allied convoys....
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...Misty D. McCartney Boomer v. Atlantic Cement Case Brief Public Law September 10, 2015 Heading Boomer et al v. Atlantic Cement Company, Inc. 26 N.Y.2d 219, 257 N.E.2d 870, 309 N.Y.S.2d 312, (1970) N.Y. Court of Appeals Statement of Facts Plaintiffs filed a nuisance claim against the neighboring Atlantic Cement Company because the smoke, dirt and vibrations from plant and nearby quarry caused well documented property damage to their property. The plant is worth an estimated $45 million dollars and has over 300 employees. The past, present and future damages to their property was found to be an equitable single recovery in the amount of $185,000 to all plaintiffs. Procedural History The Lower court found that there was a nuisance and awarded temporary damages, but the injunction was...
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...With these developments, it is obvious that conflicts between parties of different nationalities occur and liability to tax on income of foreigners especially among those engaging in trading venture. Whilst the laws affecting domicile and residence may be sufficiently settled, it is paramount for courts to pursue a detailed analysis to ascertain specific preliminary issues so as to avoid controversial rulings. Courts often handle numerous financial cases that involve what can be best described as foreign or international elements. In such cases, court must decide whether it has the jurisdiction under the Family Law Act 1975 to make a decision on such cases. In the event that it is determined that the court is invested with the jurisdiction to determine the case, the court has to consider whether there is a system of law in foreign country that also has the jurisdiction to handle the case. As it was addressed in the case Attorney General of New Zealand v Ortiz [1984] AC 1, these benefits and costs to either party if the case resolution is made in foreign country as compared with the apparent country should also be a subject of concern. [1] Legal systems in most countries around the world adopt community property regime, which takes effect at the inception of marriage or at the time of divorce. For instance, California and Massachusetts in the United States have adopted community property regimes that support equal division of assets upon divorce. However, this provision...
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...Adapted from Bernhardt & Kinnear (1988). Cases in marketing management, pp. 6-16. Plano, TX: Business Publications, Inc. Pay careful attention to the following points. They are often used by instructors to evaluate either a written or oral analysis. 1. Be complete. Each area of the situation analysis must be discussed, problems and opportunities identified, alternative presented and evaluated using the situation analysis and relevant financial analysis, and a decision must be made. An analysis that omits part of the situation analysis or only recognizes one alternative is not a good analysis. Second, each area must be covered in-depth and within insight. 2. Avoid rehashing case facts. Every case has a lot of factual information. A good analysis uses facts that are relevant to the situation at hand to make summary points of analysis. A poor analysis just restates or rehashes theses facts without making relevant summary comments. 3. Make reasonable assumptions. Every case is incomplete in terms of some piece of information that you would like to have. A good case analysis must make realistic assumptions to fill in the gaps of information in the case. For example, the case may not describe the purchase decision process for the product of interest. A poor analysis would either omit mentioning this or just state that no information is available. A good analysis would attempt to present this purchase decision process by classifying the product and drawing upon real life...
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...are given. It is understandable then that we should seek out more opportunities to apply our skills and make more positive impacts within our jurisdictions. It is this general attitude that led us to get involved in investigating cold cases. How We Got Started Mark had, for several years, been consulting with our Coroner’s Division as a forensic anthropologist. During this time he came to learn that there were numerous coroners’ cases in which the identity of the decedent was unknown. These cases were kept in three-ring binders on a shelf in the Sergeant’s office. Over the years, in the course of this forensic work, we would discuss these cases and the progress that was being made on them. The conversation usually ran along the lines of us asking “any luck with that 1980 homicide victim?” and the sergeant answering “well, we’ve gotten so many new cases that I haven’t been able to even look at it yet.” This went on for a few years and through two different sergeants. One day we, as a crime analysis unit, were brainstorming about how we could broaden our “client base”, as it were. We had been successful in integrating ourselves into our Investigations Bureau and had been involved in numerous major cases. And, of course, we had always been active in producing tactical and strategic analyses for our patrol personnel. But we knew that we could be doing more, particularly given the size and responsibilities of our agency. It was during...
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