LOL

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Atlantic computers
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Impact of 5C's on the pricing strategy

• Competition Atlantic has only 20 of the market
  share
• Company 30 years old and reliable
• Customer Less cost to customers for more
• Collaboration No collaboration with any other
  company
• Context New software, Economical and
  Technological.

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Pricing Strategy 1 -Selling Price of Tronn 2000
USD
Pricing Strategy 2 - For 4 Zinc servers we use 2
Tronn server with PESA 6800 USD and without
PESA 2000 USD
Pricing Strategy 3- Cost Plus Approach -Expected
Sales of Tronn Servers in 3 years
(0.04500000.09700000.1492000) 21180
Cost of Tronn Installations with PESA (1) 1538 1538
PESA cost installation per server (2) 189 development Cost/Tronn installations (200000/10590)
Total Cost of Tronn 1729 (1)(2)
Selling Price of Tronn installed with PESA after Mark-up 2245 USD 2245 USD
Selling Price of Tronn without PESA 2000 USD 2000 USD
Pricing Strategy 4- Value-in pricing - Selling
Price of 1 Tronn 3200 USD
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Revenue Table
Method Of Pricing Status Quo Competition Based Cost Plus Value In Use
Expected Sales 21180 21180 21180 21180
Total Revenue 18287420 36006000 23785140 33888000
Cost 2416030 18287420 18287420 18287420
Profit 2416030 17242030 5021170 15124030
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Likely reaction of Ontario Zink's senior
management team

• Decrease price of their product.
• Start doing reverse engineering or copying
  Atlantic Computers product.
• Can come up with perks for their existing
  customers.

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• Group 4
• Ayush Khandelwal
• Rakshit Chaudhary
• Rachit Pradhan
• Sushma Keshri
• Giridhar Snajay
• Sandipan Shandilya