Wednesday
April 1, 2015

Homework Help: Managerial Economics

Posted by Gregg on Sunday, February 10, 2013 at 9:33pm.

Suppose your marketing department does a survey of potential users and finds that these users place the following values on the two versions of your software.
Software Version Home Users Commercial Users
Full featured version $175 $225
Disable version $150 $200

If the numbers of home and commercial users are equal, and you cannot distinguish between commercial and home users, what is the msot profitable pricing strategy? Assume the MC of prodcution is zero. Explain your answer.
a. Sell to only commercial users
b. Sell to only home users.
c. sell to both groups using a single price.
d. Sell to both groups at two different prices

Answer this Question

First Name:
School Subject:
Answer:

Related Questions

computer - What type of software is provided with the expectation that the ...
Stats - Macintosh users make up about 5% of all computer users. A computer ...
Stats - Macintosh users make up about 5% of all computer users. A computer ...
computer - 2. _____is applications software designed to help users be more ...
Math - if brazil got 11401 internet subscribers (1000s) and 67510 internet users...
statistics - Webcredible, a UK-based consulting firm specializ- ing in websites...
Stats PLEASE HELP!!! - Webcredible, a UK-based consulting firm specializ- ing in...
Maths - According to the CIA fact book there were 1018057384 internet users in ...
Math - According to the CIA fact book there were 1018057384 internet users in ...
8th grade - According to the CIA fact book there were 1018057384 internet users ...

Members