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Launching LeBron X Nike Plus at a $300 + Price Target: An Evolving Case in Price Communication and Public Relations

September 2012 Communication 1 Comment

This fall, Nike is rumored to be launching the above $300 LeBron X Nike Plus basketball shoes. What was expected to be a highly promising product launch has morphed into a management and political quagmire regarding its high price, potential violence, and target market abuse. What should Nike do?

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Avoiding Price Wars

September 2012 Pricing

The negative impact on industry profit due to price compression from firms engaging in price wars can possibly be avoided by a better understanding of strategic games. Observing competing firm's historical behavior and current price announcements offers valuable indications of future actions. Modeling such strategies in a game theoretical scope allows for more informed pricing decisions and possible profit saving maneuvers.

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Redefining and Rediscovering Market Segments in the Wireless Telecom Industry

September 2012 Marketing 1 Comment

Theodore Levitt claimed that the primary reason for the growth of any industry to be threatened, slowed or stopped is not because the market is saturated. Rather, it happens when the industry leaders define their markets by focusing primarily on their products/services and not on their customers’ underlying needs. How does this apply to telecom?

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Sales, Science and Engineering

September 2012 Selling

When I think about time management (an important issue for salespeople) I often find myself thinking about Albert Einstein. When I think about Einstein, I often find myself thinking about Sir Isaac Newton too. They were both brilliant scientists, but now you may be thinking, what do either of them have to do with sales? It turns out that you can apply much of what Einstein and Newton theorized to the science and engineering of selling. Read how.

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How do you know you have a bad (unprofitable) customer (also known as a leech)?

Look for one of these known telltale signs:  (Adapted from Denish Shah, V. Kumar, Yingge Qu, Sylia Chen,  (2012). “Unprofitable Cross-Buying: Evidence from Consumer and Business Markets.” Journal of Marketing: Vol. 76, No. 3, pp. 78-95.)
  1. They make excessive demands for customer service.
  2. The have higher rates of returns and credit defaults.
  3. Most of their relevant wallet share goes to a competitor.
  4. They lack the purchasing power to make many purchases.
  5. They purchase a higher ratio of loss leaders.
  6. They request and receive deep discounts.