Optical Distortion Inc Questions Answers 
Optical Distortion Inc. – Questions for Discussion
1. What characteristics of the ODI contact lens are likely to make it appealing or unappealing to different types of chicken farmers? [If desired, this question can be rephrased to include a specific reference to literature on diffusion of innovations.]
Advantages:
reduction in mortality due to cannibalism among chicken from 25% to 4,5% decrease in egg-production loss (savings on egg-production) savings on feed expenses fast process of installing the lenses reliable supplier (New World) reduction of trauma for chicken
Disadvantages:
higher price of ODI lenses many problems which aroused while testing the lenses lack of professional personnel and facilities lack of recycling plan for old lenses
2. In what geographic areas should ODI focus its efforts?
They want to concentrate their efforts firstly in California and Oregon and then after they want to invest and spread on other regions like South Atlantic regions like North Carolina and Georgia.
3. On what market segments (in addition to geographic) should ODI focus its effor?
ODI wants to focus mainly on medium and large farms which are farms with more than 10,000 chicken and they should avoid smaller farms with less than 10,000 because they are relucant to new technologies, they are family-owned, they have a declining rate and cannibalism is probably not big issue. They should focus on medium and large farms because they are professionally operated, have more employees, large transactions and problem with cannibalism is a serious issue.
4. What pricing policy should ODI adopt?
The minimum price Garrison and Olson agreed is $ 0,08. The savings with such price are $ 0,34. Price skimming is the best pricing policy since this product is in the introduction phase. They should start with higher price and then lower the price as patent runs out in 3 years. This strategy will maximize short-term contribution which will allow ODI to invest in R&D.
5. What
1. What characteristics of the ODI contact lens are likely to make it appealing or unappealing to different types of chicken farmers? [If desired, this question can be rephrased to include a specific reference to literature on diffusion of innovations.]
Advantages:
reduction in mortality due to cannibalism among chicken from 25% to 4,5% decrease in egg-production loss (savings on egg-production) savings on feed expenses fast process of installing the lenses reliable supplier (New World) reduction of trauma for chicken
Disadvantages:
higher price of ODI lenses many problems which aroused while testing the lenses lack of professional personnel and facilities lack of recycling plan for old lenses
2. In what geographic areas should ODI focus its efforts?
They want to concentrate their efforts firstly in California and Oregon and then after they want to invest and spread on other regions like South Atlantic regions like North Carolina and Georgia.
3. On what market segments (in addition to geographic) should ODI focus its effor?
ODI wants to focus mainly on medium and large farms which are farms with more than 10,000 chicken and they should avoid smaller farms with less than 10,000 because they are relucant to new technologies, they are family-owned, they have a declining rate and cannibalism is probably not big issue. They should focus on medium and large farms because they are professionally operated, have more employees, large transactions and problem with cannibalism is a serious issue.
4. What pricing policy should ODI adopt?
The minimum price Garrison and Olson agreed is $ 0,08. The savings with such price are $ 0,34. Price skimming is the best pricing policy since this product is in the introduction phase. They should start with higher price and then lower the price as patent runs out in 3 years. This strategy will maximize short-term contribution which will allow ODI to invest in R&D.
5. What