Market Structures and Relating Pricing Strategies Abstract This paper analysis’s the four categories of the market structure; perfect competition; monopolistic competition‚ oligopoly and monopoly marketing structures. It will also provide pricing strategies as they are specifically related to each market structure. Each market structure possesses it own unique pricing structure that every business follows to achieve its maximum profit. Some market structures pricing strategies
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Hawaiian Punch is the leading brand of fruit drink brands in the United States and has a long history of satisfying customers. The Hawaiian Punch brand traces its roots back to the 1930’s when it was developed as tropical-tasting syrup for ice cream and later sold as a drink. The brand has been owned by several different companies over the years and was recently purchased by the Cadbury Schweppes Company from Procter and Gamble Corporation. Hawaiian Punch joined the Dr. Pepper-Seven UP Inc. bottling
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Market Potential A market potential is an estimate of the maximum possible sales opportunities for a commodity or group of commodities open to all sellers in a particular market segment for a stated period under consideration Before going to the stage of establishing market potential‚ commodity grouping must be established in such a way that the individual commodities concerned are uniform with respect to the demand function. Since most products do not greatly differ from others‚ consumers
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Soft Drink Industry Case Study Table of Contents Introduction 3 Description 3 Segments 3 Caveats 4 Socio-Economic 4 Relevant Governmental or Environmental Factors‚ etc. 4 Economic Indicators Relevant for this Industry 4 Threat of New Entrants 5 Economies of Scale 5 Capital Requirements 6 Proprietary Product Differences 7 Absolute Cost Advantage 8 Learning Curve 8
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Description The soft drink industry is concentrated with the three major players‚ Coca-Cola Co.‚ PepsiCo Inc.‚ and Cadbury Schweppes Plc.‚ making up 90 percent of the $52 billion dollar a year domestic soft drink market (Santa‚ 1996). The soft drink market is a relatively mature market with annual growth of 4-5% causing intense rivalry among brands for market share and growth (Crouch‚ Steve). This paper will explore Porter ’s Five Forces to
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For every meal‚ snacks‚ parties‚ gatherings with friends or co-workers‚ or even just sitting back watching television‚ there is always that incessant presence of a can or a glass of one’s favorite carbonated drink. For most people‚ especially for adolescence‚ these sugary carbonated drinks liven up the quality of the food or even the company‚ or provide that quenching ‘kick’ for the thirsty‚ something that water sometimes cannot do. Unfortunately a liter of soda can contain 700 calories (US Department
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same but at a lower price‚ therefore demand is elastic. Demand for soft drink as a whole is inelastic because whether or not the price increases/decreases‚ demand would not decrease/increase by a whole lot‚ since it’s the consumers’ preferred choice of drinks (just like milk is inelastic). Just because the price increases‚ doesn’t mean that consumers will start to drink water all the time‚ they’ll just drink less amounts of soft drink than usual (and vice versa). Elastic means by increasing the price
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There are many ways to segment markets‚ but the most effective approach for Tesla would be to use a concentrated segmentation strategy. Tesla should not try to appeal to everyone by engaging in a mass marketing campaign. A concentrated segmentation strategy will allow Tesla to employ its limited resources more efficiently. Geographic segmentation is used when a product satisfies a customer’s want or need that is specific to a region. Tesla can use a geographic segmentation because gas prices
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sell Coke through interactive vending machines. Over the last three years‚ the soft-drinking giants have watched their earnings erode as they waged a price war in supermarkets. Vending machines have remained largely untouched by the discounting. Sales of soft drinks from vending machines have risen steadily over the last few years‚ though most sales still take place in supermarkets. Last year‚ about 11.9 percent of soft-drink sales worldwide were from vending machines. Vending machines require low cost
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Foreign Market Entry Strategy Case Analysis Brief Description of Entry Strategy Background Traditionally‚ international education has consisted of sending students from their home nation to another country. This approach allows local interaction between students in a new social setting‚ and has been heralded as increasing international cooperation‚ enhancing national security and improving economic competitiveness. Sending students abroad or hosting international students is only one of
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