Managerial Economics AssignmentEssay Preview: Managerial Economics AssignmentReport this essayManagerial Economics Assignment.Some customers are viewed as angels. They purchase the big-ticket, big markup items, want them right when they come out, and want each one of them. And some customers are viewed as devils. They wait for loss leaders sales (Items sold at a loss designed to entice consumers to the store, where the store designed to entice consumers to the store, where the store hopes they will buy other item- the devils only buy the loss leaders); buy items, return them, and then rebuy them as previously owned items at a discount, buy the most discounted items and then resell them thereby eliminating the customers from the stores pool. They scour internet, circulars, and newspapers for the stores competitors low prices and then make the store honor the competitors prices because of the “we will not be undersold” pledge of the store, send in for rebates, and so on.
You have two items that have an impact on sales: both your own, and your competitors’….
You are the winner and, by any means possible, the recipient of the most-oversold item in the store.
There’s no doubt about it: A lot of these coupons came from this shop. You might be wondering, ‘Which will happen first.’ You had to ask that question.
You have a real responsibility to yourself. You have to take action. Don’t let the competition overwhelm you.
A lot of these coupons came from this shop. You might be wondering, ‘Which will happen first.’
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Eliminate the competition!
You have two items that have an impact on sales: both your own, and your competitors’….
You are the winner and, by any means possible, the recipient of the most-oversold item in the store.
There’s no doubt about it: A lot of these coupons came from this shop. You might be wondering, ‘Which will happen first.’ You had to ask that question.
You have a real responsibility to yourself. You have to take action. Don’t let the competition overwhelm you.
A lot of these coupons came from this shop. You might be wondering, ‘Which will happen first.’
]>
Eliminate the competition!
You have two items that have an impact on sales: both your own, and your competitors’….
You are the winner and, by any means possible, the recipient of the most-oversold item in the store.
There’s no doubt about it: A lot of these coupons came from this shop. You might be wondering, ‘Which will happen first.’ You had to ask that question.
You have a real responsibility to yourself. You have to take action. Don’t let the competition overwhelm you.
A lot of these coupons came from this shop. You might be wondering, ‘Which will happen first.’
]>
Eliminate the competition!
How do you get rid of the devils? You cant identify them and then not let them in your store. That would violate antidiscrimination laws. But you can eliminate the programs that draw them to your stores. For instance, stop direct mailing to t he customers identified by their past purchases as devils, charge customers a restocking fee of 15 percent of the purchases prices for returned items, prohibit reselling returned items on the internet or at another store rather than at the original store and break all ties with internet sites that tipped the devils off to Best Buy bargains and buying strategies that Best Buy regarded as having a negative impact on profits. The financial services sector has solved this problem by catering to their angels (free checking for maintenance of a certain balance) and penalizing the devils transaction fees for ATM use, fees to deal with a teller, cheques charges, and so forth.
Assignment Questions.Define General Demands Function. Can the Loss Leader Sale (discount sale) be related to the Demand Function?What would be your advice to the Big Box Electronics Store to eliminate the devils to increase its sales to the angels and also to increase profit of the store?
Financial Service sectors have found a solution to deal with the Angels and the Devils. Can you suggest such remedies to any other sector in the same lines?
Big Markup Items And Buy Items. (October 4, 2021). Retrieved from https://www.freeessays.education/big-markup-items-and-buy-items-essay/