Archives tagged: business strategy

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Price is a Verb

By Tim J. Smith, PhD January 3, 2017

So what do executives get wrong about pricing? They treat it as a noun not as a verb. Treating price as a verb drives executives to define the culture, organizational structure, and process for making pricing decisions. Leading firms do this. Failing firms don’t. Executives, you have a choice.

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Five Pricing Best Practices for Organizations

By Kyle T. Westra December 10, 2016

Dedication to understanding its customers makes a company more knowledgeable about the competitive landscape and better equipped to anticipate changing conditions. The entire company feels less insular and more connected to its existential purpose: serving customer needs profitably.

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Will PlayStation VR Succeed?

By Tim J. Smith, PhD November 1, 2016

Not that I can or am stating that everything Sony did was perfect. And I am definitely not stating that everyone will find Sony’s design tradeoffs to result in a good offering. But they did define their target market and product design requirements in such a manner broadly appearing to be compatible with a highly successful product, launch.

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Pricing Done Right – Events and Press Roundup

By Tim J. Smith, PhD October 5, 2016

September was an important month with the success of Pricing Done Right: The Pricing Framework Proven Successful by the World’s Most Profitable Companies. Check out some of the celebration and press below, and don’t forget to pick up your own copy!

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Pricing Done Right

By Tim J. Smith, PhD August 3, 2016

Pricing Done Right provides a roadmap for improving pricing practices within any market-oriented firm. It provides a framework for managing pricing decisions in any organization. It clarifies the best practices for defining the organizational culture, architectural hierarchy, and routines for getting pricing done right.

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B2B and B2C Ecommerce Trends Witnessed at Internet Retailer 2016

By David Dalka August 3, 2016

Adrienne Hartman, Director of Ecommerce & Customer Insights at J.J. Keller & Associates talked about how B2B Ecommerce cannot be solved only by software alone. (I agree with her) She also talked about using Google Manufacturing Center. She encourages you to ask, “How well can buyers use your site?” It is clear that her words come from an employee of an organization with a strong culture.

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New Washing Machine Marketplace Innovations and Warranties Driving Value Proposition Differentiation

By David Dalka February 4, 2016

Recent purchases have lasted less time than that in most cases. I wondered aloud whether using tools like Six Sigma for efficiency over and over have reached an inflection point where they destroy quality. Once you have perfected a product and focus on taking out costs, there is an opportunity cost. That opportunity cost usually results in a loss of quality.

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Pricing Automation: Questions to Ask

By Anirban Sengupta January 3, 2016

Getting back to the shop-floor example: what if you realized that you ended up buying a few million dollar worth machinery but had to retain the workforce to run the machines as per requirements? In fact you ended up renting a bigger floor to accommodate the humans and machines?

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Pricing Isn’t an Event, it’s a Journey

By Tim J. Smith, PhD July 13, 2015

In the price improvement strategy, firms develop the organizational capabilities to manage prices better. Pricing and discount management processes are developed. People are hired to drive those processes. Tools are acquired to accelerate achievements. Cultures are changed towards a profit and discount cautious mentality.

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Price Structure Improvements Drive UPS Earnings Up

By Tim J. Smith, PhD June 10, 2015

In terms of market segmentation alignment, different customers receive different benefits (perceived or real) from the same or similar product. This drives variation in willingness to pay. One goal in improving a price structure is to improve the match between the willingness to pay and the price extracted. It is a form of price segmentation.

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