14 Aug 1.A companys marketing strategy can be customer-oriented (i.e., strategy desig

1.A companys marketing strategy can be
customer-oriented (i.e., strategy designed by examining primarily customer
needs) or competitor-oriented (i.e., strategy based on competitors actions).
In reality, companies do both. For the following scenarios, identify which
strategies to emphasize and why.
1. A market leader in pharmaceuticals
2. A market follower in a mature market
3. A market niche (i.e., company focused
on a small segment) in interior decoration of luxury homes
4.
A a
market challenger in a mature market with low margins and significant economies
of scale effect2.The Tropical Paradise Resort is located on
the coast of an exotic Pacific island. Room rates are $300 per night,
which includes free access to the pool, gym, and tennis courts. The resort also
offers the following services:

Aerobics
classes ($5 per)

Therapeutic
massages ($40 per)

Scuba-diving
trip to a nearby coral reef ($60 per)

Day trips
to an island volcano ($100 per trip)
The average stay is five days. The hotel is considering two pricing
options:
1. Charge the regular room rate and charge
separately for the four services above
2.
Charge a
higher room rate, which includes the services
The resorts
objective is to maximize long-term profits by attracting repeat and new
customers. Should they price their services separately or bundle them? Why?
Besides prices, what other factors are important in your decision? (Points:
100)1. Corben Inc. has a successful brand with the
name Crunz. The market size in which Crunz competes is $4 billion, and Crunz
has generated sales of $400 million. It has a contribution margin of 30% and
annual fixed costs of $20 million. Corben Inc. is thinking of introducing
a new brand under the name of Zaturn. Zaturn will compete in the same market as
Crunz. The annual fixed costs for this brand are expected to be $40 million.

If it is launched, Zaturn will capture 10% of the market. It has a contribution
margin of 40%. Half of the sales of Zaturn will be cannibalized from the sales
of Crunz. An alternative strategy for Corben Inc. is to cancel the introduction
of Zaturn and instead to spend the $40 million (on an annual basis) to promote
Crunz. This action is expected to increase the sales for Crunz by 50%. Both
brands (Cruz and Zaturn) sell at the same price. Where should the company spend
the $40 million and why? Show all calculations! (Points

1.A companys marketing strategy can be
customer-oriented (i.e., strategy designed by examining primarily customer
needs) or competitor-oriented (i.e., strategy based on competitors actions).
In reality, companies do both. For the following scenarios, identify which
strategies to emphasize and why.1. A market leader in pharmaceuticals2. A market follower in a mature market3. A market niche (i.e., company focused
on a small segment) in interior decoration of luxury homes4.
A a
market challenger in a mature market with low margins and significant economies
of scale effect2.The Tropical Paradise Resort is located on
the coast of an exotic Pacific island. Room rates are $300 per night,
which includes free access to the pool, gym, and tennis courts. The resort also
offers the following services:
Aerobics
classes ($5 per)
Therapeutic
massages ($40 per)
Scuba-diving
trip to a nearby coral reef ($60 per)
Day trips
to an island volcano ($100 per trip)The average stay is five days. The hotel is considering two pricing
options:1. Charge the regular room rate and charge
separately for the four services above2.
Charge a
higher room rate, which includes the servicesThe resorts
objective is to maximize long-term profits by attracting repeat and new
customers. Should they price their services separately or bundle them? Why?
Besides prices, what other factors are important in your decision? (Points:
100)1. Corben Inc. has a successful brand with the
name Crunz. The market size in which Crunz competes is $4 billion, and Crunz
has generated sales of $400 million. It has a contribution margin of 30% and
annual fixed costs of $20 million. Corben Inc. is thinking of introducing
a new brand under the name of Zaturn. Zaturn will compete in the same market as
Crunz. The annual fixed costs for this brand are expected to be $40 million.

If it is launched, Zaturn will capture 10% of the market. It has a contribution
margin of 40%. Half of the sales of Zaturn will be cannibalized from the sales
of Crunz. An alternative strategy for Corben Inc. is to cancel the introduction
of Zaturn and instead to spend the $40 million (on an annual basis) to promote
Crunz. This action is expected to increase the sales for Crunz by 50%. Both
brands (Cruz and Zaturn) sell at the same price. Where should the company spend
the $40 million and why? Show all calculations! (Points

Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.