Price Quotes and Pricing Decisions Essay

This archive file of BUS 640 Week 5 Price Quotes and Pricing Decisions Applied Problems shows the solutions to the following problems: 1. a. Why would your company have bid with a zero mark-up on some past tenders? Business – General Business Price Quotes and Pricing Decisions Applied Problems . Please, complete the following 3 applied problems in a Word or Excel document. Show all your calculations and explain your results. Submit your assignment in the drop box by using the Assignment Submission button. Maxim Motronics A.G. have been marketing a new product in Europe that has achieved notable market success and it now plans to introduce this product into the United States market. The product is an electronic device that is mounted in the rear window of passenger cars and allows the driver of one vehicle to have a spoken message converted to text and scrolled across the display panel to be read by occupants of a following vehicle. This new product can utilize the hands-free telephone microphone already installed in many new vehicles, or provides this as free accessory. Maxim expects that demand will be slow at first but will pick up quickly as automobile accessory stores begin to stock the product and as word-of-mouth promotion spreads awareness. Maxim also plans to produce a humorous video for posting to YouTube and to utilize social-media marketing to spread awareness and enthusiasm for the new product. Market demand estimates provided by Maxim are that the firm expects to sell about 125,000 units into the U.S. market within 24 months, and that sales per month will start slowly and increase monthly in the expected diffusion pattern until they stabilize at about 10,000 per month after month 24. The diffusion curve parameters that fit these assumptions are shown in the equation + 46.11T2 – 1.352T3, where Q is sales per month and T †¦ Complete course guide available here – https://bitly.com/1oJNbd3 Reserve your ambitions for a position in the student government for your  sophomore or junior year of college. Freshman are largely ignored by the SGA. You can use your freshman year to learn about campus politics and discover what role you’d like to play in them. Business – General Business Price Quotes and Pricing Decisions Applied Problems . Please, complete the following 3 applied problems in a Word or Excel document. Show all your calculations and explain your results. Submit your assignment in the drop box by using the Assignment Submission button. Maxim Motronics A.G. have been marketing a new product in Europe that has achieved notable market success and it now plans to introduce this product into the United States market. The product is an electronic device that is mounted in the rear window of passenger cars and allows the driver of one vehicle to have a spoken message converted to text and scrolled across the display panel to be read by occupants of a following vehicle. This new product can utilize the hands-free telephone microphone already installed in many new vehicles, or provides this as free accessory. Maxim expects that demand will be slow at first but will pick up quickly as automobile accessory stores begin to stock the product and as word-of-mouth promotion spreads awareness. Maxim also plans to produce a humorous video for posting to YouTube and to utilize social-media marketing to spread awareness and enthusiasm for the new product. Market demand estimates provided by Maxim are that the firm expects to sell about 125,000 units into the U.S. market within 24 months, and that sales per month will start slowly and increase monthly in the expected diffusion pattern until they stabilize at about 10,000 per month after month 24. The diffusion curve parameters that fit these assumptions are shown in the equation + 46.11T2 – 1.352T3, where Q is sales per month and T is the number of months after the launch into the US market. Maxim’s average variable cost (AVC) is constant at $62 per unit and he expects to set the profit-maximizing price by applying a 167% mark-up to arrive at his regular price of $165, since he estimates the demand curve to be – 0.02Q.