A significant proportion of planned sales promotions do not get implemented due to the lack of full support by the retailer. The student task is to determine whether the retailer is likely to run/support the sales promotion.
In this activity, students need to allocate the overall promotional budget to help support the launch of a new computer game console.
For each of the following decisions, students will calculate and determine whether the promotional expenditure generates a positive return on investment (that is, a marketing return on investment = ROMI).
In this case study, the student task is to determine whether the firm should continue with its current strategy (which is mainly priced-based) or does it need to adopt a new approach?
While it is generally acknowledged that it is best to stay out of a price-cutting war, sometimes competitor actions will force you into one. In this activity, students need to counter when one of their competitors cuts their prices – how will they respond?
Students assume that they decide to start a business as a marketing consultant. How much do they need to charge for their consulting services?
In this activity, the student task is to determine what average prices will need to be charged by these small retailers so they end up making a good profit.
Students set prices using marginal analysis. This pricing approach looks for the maximum profit point, considering the firm’s cost structure and the likely sales at different price points
Students use target profit pricing to determine how many units we will need to sell to both cover costs AND achieve a set profit.
Work through two examples of using break-even analysis for pricing, to gain a better understanding of this approach.