ODI (A). Problem and recommendations: ODI has developed a completely new product – contact lenses for chickens, which has the potential to revolutionize the poultry industry by modifying animals’ behavior, thus, replacing traditional debeaking practices and saving the farmers annually 25 cents per bird. In pricing the product the Company faces the objective of balancing the need to have a high contribution margin (to cover high fixed costs, including R&D and marketing expenses) with a necessity
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Optical Distortion Notes I. How much is a pair of ODI lens worth to the chicken farmer? The value for the farmer is value of substitution in use, in other words substitution of the existing method “debeaking”. So the value of a pair is - So let us consider the benefits to the farmer per bird per year. The sources of benefits are 1. Reduced chicken mortality. Mortality reduced from 9% to 4.5% The present cost of a surviving bird (including dead birds) is = $ 2.61
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ODI Case Exercise Daniel Garrison, CEO of Optical Distortion, Inc (ODI), asked Roland Olson, marketing VP of ODI, to develop a marketing plan for the firm’s new (and only) product—a contact lens for chickens. A surprising idea? Mr. Garrison explained: Like so many other great discoveries, our product concept was discovered by accident. A chicken farmer had a flock of chickens with severe cataract problem. He separated the afflicted birds from the rest of the flock and subsequently
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ODI Case Exercise Daniel Garrison, CEO of Optical Distortion, Inc (ODI), asked Roland Olson, marketing VP of ODI, to develop a marketing plan for the firm’s new (and only) product—a contact lens for chickens. A surprising idea? Mr. Garrison explained: Like so many other great discoveries, our product concept was discovered by accident. A chicken farmer had a flock of chickens with severe cataract problem. He separated the afflicted birds from the rest of the flock and subsequently
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Introduction Optical Distortion, Inc. (ODI), is a small, new company that has developed contact lenses designed to impair the vision of egg-producing farm chickens. This development came after an accidental discovery that partially blind chickens demonstrate more manageable and productive behaviors that are valuable to chicken farmers. Market Trends As within many industries, the poultry and egg production market has evolved dramatically in the last century— from small backyard barnyards to
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Optical Distortion, Inc. (ODI) is the world’s first company to introduce contact lenses for chickens. These lenses offer farmers a unique cost saving opportunity and are more humane and efficient than the current de-beaking method. ODI, with help from New World Plastics has developed this commercially viable technology to reduce cannibalism by inducing astigmatism. With a patent holding off competition for at least three years, ODI needs to decide how to price contact lenses to ensure high adoption
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poultry industry in United States, it should focus on large-sized chicken farms and price ODI lenses at a higher level for the sake of its profits and its future business plan. II. Introduction With the fact existed in poultry industry in late 1970s that most of the chickens in United States were owned by some large farms. Optical Distortion, Inc., a contact lens company, has developed a kind of contact lens applied on chickens considered to hold enormous market potential. However, it is hard
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Telecommunication While traditional telecommunications networks have allowed us to cross barriers associated with time and distance, the new multimedia realm is allowing us to include vital physical cues in the information stream, introducing a physical reality into the world of electronic communications, goods, and services. Not surprisingly, some of the industries that are being most radically revolutionized are those that deal with the human senses, including entertainment, health care, education
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MARKETING COURSE Articles Books & Chapters Cases Course Modules Online Courses Simulations 2012 MATERIALS Harvard Business Publishing serves the finest learning institutions worldwide with a comprehensive catalog of case studies, journal articles, books, and eLearning programs, including online courses and simulations. In addition to material from Harvard Business School and Harvard Business Review, we also offer course material from these renowned institutions and
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Chapter 1 The Dimensions of Psychology Summary: Psychology is an academic and applied discipline that involves the scientific study of mental functions and behaviors. Psychology has the immediate goal of understanding individuals and groups by both establishing general principles and researching specific cases, and by many accounts it ultimately aims to benefit society. In this field, a professional practitioner or researcher is called a psychologist, and can be classified as a social, behavioral
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