TV Price War Hurts Circuit City
A vicious price war for large, flat screen televisions has bit into Circuit City’s bottom line. The electronics retailer posted a loss for the past 3 months, sending shares skidding. As usual, the...
View ArticleWhy Price Wars Are a Bad Idea
People are competitive. Companies are competitive. They want to beat each other, they want to “win.” That’s why otherwise smart people often start or join price wars. Price wars transfer money from...
View ArticleMotorola Lays Off 3,500, Cites Pricing Problems
Electronics giant Motorola, the number 2 maker of cellphones after Nokia, announced that it will shed 3,500 jobs in a cost-cutting move after overly aggressive discounts trimmed profits. Motorola...
View ArticlePricing Pressure Pounds AMD Shares
Shares of AMD took a beating last week after the Austin chip maker announced a 4th quarter loss and offered cautious guidance because of an ongoing price war of attrition with Intel. The loss is...
View ArticleBlockbuster Goes after Netflix with Pricing
Punished by the the popularity of cheap DVDs, video-on-demand, and the Netflix DVD-rental-by-mail service, Blockbuster announced further price cuts on its subscription plans. These plans allow...
View ArticleCompetitive pricing cuts tech profits, despite topline growth
Despite strong demand for technology products by both home and business buyers, competitive pricing is exerting strong downward pressure on profits and stocks. Hardware makers are suffering the most,...
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Value, Scarcity, and Pricing in the Age of Superabundance
For most people, throughout most of human existence, scarcity was paramount.** Now we live in an age of not just abundance, but superabundance. The agricultural revolution created abundance– not by...
View ArticleWhat's your plan to close out 2009?
What’s your plan to close out 2009? For many companies, 2009 has been a tough year. While many people remember the crash of the dot-com bubble, some people seem to have forgotten, and even that crash...
View ArticleThe Sorcerer’s Apprentice and the $23 Million Book
I’m a big fan of automating pricing tasks. Companies spend way too much time on mundane issues like moving pricing information from one system (or spreadsheet) to another, and far too little time...
View ArticlePrice Competition How to Avoid It and How to Win It
Price competition can seem scary, but many of the wounds are self-inflicted. While that sounds discouraging, it’s actually good, because it means you can take control of them, avoid them, and win deals...
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