scholarly journals Manufacturer’s Sharing Servitization Transformation and Product Pricing Strategy

2021 ◽  
Vol 13 (3) ◽  
pp. 1503
Author(s):  
Zhenfeng Liu ◽  
Ya Xiao ◽  
Jian Feng
Keyword(s):  
Supply And Demand ◽  
New Products ◽  
Unit Cost ◽  
New Product ◽  
Sharing Economy ◽  
High Rate ◽  
Pricing Strategy ◽  
Product Pricing ◽  
The Cost

The sharing market includes the idle product sharing by the owner and the firm’s new product sharing. Companies participating in the sharing economy choose to withdraw from the market because it is always difficult to make a profit, due to heavy asset investment, but there is no such worry for owners who do not need cost input. At the same time, we have observed that the sharing products launched by companies are difficult to meet the rental needs of consumers. Based on the above findings, we have constructed a model where there is a market where a monopolistic manufacturer sells and rents out at the same time, and owners who purchased new products can choose to rent out products when they are idle. Because of the uncoordinated supply and demand matching of the sharing market and the excessively high unit cost input, our research found that: (1) the barriers for the manufacturer to enter the sharing market are always high—for example, the manufacturer will choose to enter the sharing market only when consumers have a high rate of availability of sharing products. Only when the cost of products in the sharing market is not low will the manufacturer choose to provide sharing services; (2) the competition between the two products in the sharing market weakens the demand cannibalize in the sales market; (3) the manufacturer enters the sharing market to promote the owner’s income. The owner’s earnings will increase with the rising of sharing products’ availability.

scholarly journals The Analysis of Blocking Behavior and Pricing: The Case of Airbnb

2020 ◽  
pp. 1-28
Author(s):  
Yifeng Peng
Keyword(s):  
Empirical Analysis ◽  
Rapid Growth ◽  
Profit Maximization ◽  
Sharing Economy ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Product Pricing ◽  
Starting Point ◽  
The Future ◽  
Resources Sharing

Over the years, as people's lives have improved, our need for transportation and accommodation has increased, driving the rapid growth of the sharing economy. Some well-known network sharing platforms, such as Uber, Drip and Airbnb, provide a large number of convenient options for users with transactional needs, make more use of idle tourism, accommodation and other resources. Sharing economy platforms continue to improve the content and format of their products, but at the same time, the future of sharing platforms and the difficulty of competition is a concern as more platform companies become involved and prices become more transparent. Under this circumstance, optimizing product pricing has become an urgent need for many sharing economy platforms. In this paper, we take Airbnb as the starting point and conduct an empirical analysis of the blocking behavior of homeowners based on proprietary data to explore the factors that affect their product supply. We find that price, number of beds, and listing type all have a significant impact on blocking houses. After that, we conducted further research on price factors and developed a model aiming at profit maximization to obtain the best pricing range for the region and provide suggestions for pricing strategies. Keywords: Sharing Economy, Blocking behavior, Pricing Strategy, Airbnb

Pricing for New Products

2013 ◽  
pp. 56-74
Keyword(s):  
New Product Development ◽  
New Products ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Product Innovations ◽  
Product Pricing ◽  
Pricing Process ◽  
Product Scope ◽  
Market Needs ◽  
Market Strategies

Pricing strategies specify market needs that may be served by different price offerings. The pricing strategies of the company are duly related to market strategies that eventually come to dominate both the overall strategy and the spirit of the company. Pricing strategies deal with matters such as number and diversity of products, product innovations, product scope, and product design. The implementation of pricing strategies requires cooperation among different groups including finance, research and development, the corporate staff, and marketing. This chapter guides managers as to how to manage the concept pricing process for new product development effectively by the customer centric companies through mapping the consumer perceptions about their needs and expected products. In this chapter, the author describes how companies get customer centric pricing strategy, product pricing, and tactical moves in a way that help the firms to get the competitive advantage and build profits in the future.

The Drug Lag: A 20-Year Analysis of Six Country Markets

1994 ◽  
Vol 13 (2) ◽  
pp. 290-299 ◽  
Author(s):  
Kathleen M. LaFrancis Popper ◽  
Robert W. Nason
Keyword(s):  
Public Policy ◽  
New Products ◽  
New Product ◽  
Pharmaceutical Product ◽  
Effective Drug ◽  
Drug Products ◽  
New Product Introductions ◽  
Drug Lag ◽  
The Cost ◽  
The Relationship

The sensitive nature of pharmaceuticals and the high cost of research and commercialization to introduce new products have led to numerous regulations intended to ensure the availability of safe and effective drug products. An unintended result has been to increase the cost of product introductions into various markets. The authors empirically test the relationship among the types of regulation, pharmaceutical product introductions, and the timing of their entry into the six largest country markets from 1970 to 1989. Surprisingly, the findings show that the type of regulation affects timing more than the number of new product introductions. The authors address the drug lag across the largest country markets on a product level over a period of 20 years. They discuss important potential implications for public policy and society.

New product pricing strategy under customer asymmetric anchoring

2011 ◽  
Vol 28 (4) ◽  
pp. 309-318 ◽  
Author(s):  
Joo Heon Park ◽  
Douglas L. MacLachlan ◽  
Edwin Love
Keyword(s):  
New Product ◽  
Pricing Strategy ◽  
Product Pricing

Models of the parametric range of competitive products

2021 ◽  
pp. 88
Author(s):  
P. Kokhno
Keyword(s):  
Mathematical Model ◽  
Quantitative Assessment ◽  
New Products ◽  
New Product ◽  
Dual Use ◽  
End To End ◽  
The Cost ◽  
Competitive Products ◽  
Science Production

In the article an economic and mathematical model is developed for creating a parametric range of competitive military products and dual-use products, since when determining its competitiveness, it is necessary to give it a quantitative assessment. It is proposed to classify new products into two groups, according to their purpose: the first group includes products designed to meet the new needs of society; the second group includes products intended to replace obsolete products. At the same time, the methodology for calculating the set of parameters (tactical and technical characteristics) of a new product is proposed for use in the context of applying the end-to-end planning principle in the "science - production" cycle. The process of updating the range of competitive products, mass-produced for five years, is visually (graphically) represented. In addition, mathematical dependencies have been developed to optimize the cost of an updated sample at the stage of its development, that is, when technical and design capabilities are evaluated for subsequent modernization. 

Dynamics in Developing Pricing Strategies

2012 ◽  
pp. 118-142
Keyword(s):  
Decision Making ◽  
Real Time ◽  
Systems Thinking ◽  
Supply And Demand ◽  
Pricing Strategy ◽  
Pricing Strategies ◽  
Consumer Decision Making ◽  
Business Markets ◽  
Product Pricing ◽  
Responsive Element

The most responsive element in the marketing functions is considered to be the pricing, which drives consumer decision making. Prices respond to supply and demand pressures in real time or near-real time. In this chapter, how systems thinking can be applied to develop right pricing strategy is discussed. Product pricing and tactical moves that help stabilizing the business and build its performance in the future among competitors have also been emphasized in the chapter. Also examined in the chapter is how many companies serving business markets believe that practicing value-based pricing is changing. The benefits of value based pricing approach are revealed in improved relations with customers that often lead to longer-term, more profitable relationships. It is argued here that pricing is a creative exercise, and companies should stay focused on profits. Further discussion provides guidelines for creating effective base prices using systems thinking approaches and enhancing profitability of firms.

Successful New Product Planning

2015 ◽  
pp. 308-336 ◽  
Author(s):  
Nicholas Grigoriou
Keyword(s):  
Product Development ◽  
New Product Development ◽  
Development Process ◽  
New Products ◽  
New Product ◽  
Product Development Process ◽  
Internal Process ◽  
Market Driven ◽  
The Cost ◽  
Rate Of Success

Successful organizations continually operate in a state of innovation in terms of the offerings they produce, frequently introducing new products or modifying and improving existing products as needed and by the market. The means of conceptualizing, designing, and marketing new products is known as new product development. Successful new product development is a considerable challenge for any market oriented organization. The cost of designing and developing new products is increasing while the rate of success of new products is not. Marketing managers are constantly looking for ways to improve their new product development process. This necessitates, among other things, linking an organization's capabilities and resources with the new product demands of the markets they serve. This chapter considers some of the internal process any market driven organization should focus on to improve the likelihood that their new products will enjoy market success.

Sign in / Sign up

Export Citation Format

Share Document