Marketing Principles, Concepts and Tools Assignment: Value Pricing: ORDER CUSTOM PAPER

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Marketing Principles, Concepts and Tools Assignment: Value Pricing Learning Objectives • Appreciate the complexity of pricing intellectual property • Analyze and calculate breakeven price •... Show awareness of competitive factors that can impact pricing decisions Due Date Please submit your assignment by Monday, July 6th at 11:59 PM (AZ time). Assignment Overview Assume you are the marketing manager for a large sales training company. Over many years, your firm has developed a unique set of sales training techniques. You make your income by sending in sales trainers to firms (like insurance companies and real estate agencies) to help train their salespeople. Your firm typically runs three-day courses and charges the client $1,000 per attendee. Most firms send around 15 salespeople to each course. This gives the firm revenue of $15,000 for a three-day training course. The associated variable costs are $5,000 for the trainer and $1,000 for the training manuals that are provided to the participants. Of course, a portion of the revenue needs to be allocated to fixed costs (office rent, computers, communication, support staff, promotion, and so on). Therefore, as a rough estimate, each three-day training session would generate around $5,000 gross profit. However, you now have a new pricing dilemma. A major firm has approached you to license (hire/rent) your training materials for one year to train their own staff. That means that they just want a copy of your training booklets/materials – they would then use their own training staff and produce the training manuals themselves. The firm plans to train around 100 of their sales staff (using your training materials) over the next 12 months and they want to know what your licensing fee would be. Clearly there is little cost involved. It’s almost like ‘money for nothing’, as you will simply send them the training manuals along with an invoice. Therefore, your decision is what fee to charge. You need to price it as a win-win situation – low enough so the client receives value (and you don’t lose their business), yet high enough to maximize the income from this opportunity. QUESTIONS 1. What would be the minimum (breakeven cost) you could charge to cover costs? (Show your calculations) 2. What could be the income/profit you would receive if your firm did the full training for the client (like your firm normally does)? (Show your calculations)Copyright © Arizona Board of Regents Page 2 of 3 3. Do you need to be concerned with what price potential competitors might charge? Explain your answer. 4. Therefore, given your responses to the above questions, what might be an appropriate licensing fee? (Show your calculations) Explain your answer. Evaluation Criteria and Grading Rubric This assignment will be graded based on the criteria provided in the grading rubric below. Points Rubric Superior (9-10 points) 1. Shows deep, critical thinking and knowledge of topic being covered 2. All answers are full developed and use terms and concepts used in course 3. Clearly demonstrates that the learning objects are being understood 4. Uses proper "voice" and tense. 5. Free of typos, grammatical errors, voice, and tense errors 6. No copy/paste of content. The answers are in your own words. Good to Average (7-8 points) 1. Repeats basic course concepts, but does not show critical thinking or show evidence that the learning objectives are understood. 2. Fails to fully answer the all the questions and is short of the use of terms and concepts used in the course 3. Typos, grammatical errors, failure to use proper “voice” and tense. Needs Work (5-6 points) 1. Limited understanding and course concepts and interpretive issues of the questions. 2. Weak organization with little or no evidence of understanding the learning objectives. 3. Major lapses in several rubric areas [see superior traits above]. Poor (0-4 points) Assignment missing or submitted with major omissions (see superior traits above). Assignment Submission Instructions Save your assignment as a Word (.doc or .docx) or .pdf file. Include your own name in the title of the electronic file for identification purposes, for example "SmytheMaryValuePricing" and do NOT use any spaces, punctuation, or special characters in the file name. Please consider verifying the Turnitin similarity percentage following the instructions at https://help.d2l.arizona.edu/content/students-assignments-turnitincheck-your-work so you can make any adjustments before submitting your work. When your file is ready, submit it for grading to the appropriate assignment drop box as indicated below. • Navigate to the Table of Contents -> Learning Modules -> Week 5 area of D2L. • Click on the Assignment: Value Pricing assignment drop box title. • Click on the Add a File button. • Find the file you would like to upload. If you are using the most current version of your internet browser, you can drag and drop the file into the target area of the Add a File window. You can also use the Upload button to browse for and select the file you would like to add.Copyright © Arizona Board of Regents Page 3 of 3 • Once you have selected your file(s), click the Add button in the bottom, left corner of the window. • Click on the Submit button to complete the file submission. • Upon successful assignment submission, you will receive a confirmation email. For further details on submitting assignments, please refer to the https://help.d2l.arizona.edu/content/students-assignmentssubmit web site. Please note: If you make a mistake (such as leaving out part of the assignment, send the wrong files, etc.) and the Assignment tool won’t let you submit, then you must contact the instructor and describe what happened. Assignment Feedback When the instructor has graded the assignment, you will be able to view your grade and feedback comments by clicking on Assignments (in the navigation bar toward the top of the screen). For details on viewing assignment grade and feedback, please refer to the https://help.d2l.arizona.edu/content/students-assignmentssubmit#4 website. [Show More]

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