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Case 8.1
Ted is a vice-president in a small company.He's a very laid back and private man.Everyone considers him very nice but indecisive.When he makes a decision,he communicates it accurately,but he often just won't make one.Ted thinks of himself as a very decisive person who likes to be flexible and take his time making decisions.In casual conversations with his secretary,Ted reveals that he went to school in the South,has been married for 20 years,and is thinking about taking a cruise for the first time for this year's vacation.
Ted is terrified of making the wrong decision in most situations.He knows this but won't tell anyone,even his wife.You see,he once worked for a very demanding and abusive boss who eventually fired him.Anytime Ted would make a decision this boss disagreed with,whether it was the right decision or not,the boss would yell at and humiliate him in front of others.As a consequence,now,years later,Ted has a tough time making decisions.
-Refer to Case 8.1.Ted's conversation with his secretary is an example of
Value Pricing
A pricing strategy where a product is priced based on the perceived or estimated value it provides to customers, rather than solely on the cost to produce it.
Mini Meals
Small, often nutritious, portions of food intended to meet daily dietary needs without the structure of traditional meal times.
Profit Equation
A mathematical formula used to calculate the difference between a company's total income and its total expenses, identifying net profit or loss.
Unit Price
The cost per unit of measure or quantity of a product, making it easier to compare costs among similar products.
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