How Do Dixons and Tandy Add Value To The Products They Sell?
How do Dixons and Tandy add value to the products that they sell, and, in doing so, what benefits are passed on to the consumer? Do high street consumer electronics stores offer better value for money than their mail-order counterparts? The raw price figures show that, obviously, the high street stores cost more than the mail-order stores, but are the benefits that the high street stores bring worth the extra price?
I took the prices of five types of products, a large stereo, a portable system, a small television, a video recorder, and a computer. The large stereo was an
AIWA NSX-V710, the portable system was a Sanyo MCD 278, the small televisions that I chose were not available in both stores, and so I had to choose similar models. The models I chose were the Matsui 14" Remote from Tandy and the Nokia
14" Remote from Dixons. The models were both available from the mail-order supplier, at the same price. The video recorder that I chose to use was an AKAI
VSG745, and was in fact available from both stores. The computer was the most difficult part of the system to match, as the Dixons systems came with some added bonuses such as extra multimedia software and Internet capability. I therefore reduced the price of the Dixons machine to account for these differences, by deducting the price that it would cost to upgrade on the Tandy machine. So, to give the Tandy computer Internet capability would cost £150, so that was deducted, and the multimedia software would have cost £50, so that was deducted. The computer specification I aimed to have as a common platform was an
Intel Pentium 120MHz machine, with 8MB RAM, a 14" monitor, at least a 1 GB Hard
Disk and MPC level 2 capability (i.e. be able to use CD-ROM Multimedia titles).
The mail order supplier I chose to match these specifications with was Computer
Trading, as they offered a system which was a close match to the Tandy and
Dixons ones, while having a low price. The common factor with all the products is that they are all more expensive than their mail-order price counterparts.
This means that the high street stores 'add value'. Adding value is taking one or more parts or products, combining, changing or adding to them, in such a way that the perceived value of the product is increased by more than the cost of the change. For example you might expect to pay £150 more than the cost of the
1. Customer Perceived Value (CPV) is essentially a consumer's evaluation of total benefits less total costs of a product or service compared against a perceived alternative (Kotler & Keller, 2012). There are a few ways for a company to take to improve CPV on a specific product. First, it may focus on expanding total customer's benefit by improving its product’s image. It may also invest into functional characteristics of the product as well as provide a better and more personalized service. Second, a firm may choose to reduce the time, energy and psychological costs bared by the consumer. Arguably one of the best received approaches would be a monetary costs' reduction technique (lower prices).
Price increases in the raw material mean that prices needed to be increased, but customers were still willing to pay for a quality product.
In conclusion, my experience with the 3 day diet analysis was really tough to handle because I should have made the right amount nutrients that was based on the food groups. Instead, I could have level out the right oz or cups of food that I was supposed to
D1: Evaluate the effectiveness of the use of techniques used in marketing products in one organisation
Section 1: 3 Day average report “My Plate”. I came up short when it came to my actual intake vs. the recommended intake of each food group. I can see why I would be low in every food group considering my diet consists of mainly microwaved and processed foods. My grains Intake came up short by 3oz, my vegetable intake came up 0.8 cups short, my fruit intake came up short the full recommended amount of 1.5 cups, and my protein intake was 2.9oz short.
Price Based Theories - This first theory focuses on the classification and study of the quality price relationship. And this led to the initial conceptualization of value as a cognitive tradeoff between perceptions of quality and sacrifice. As per this view the external ques influence product quality and value. Various instances so offered by Agarwal and Teas (2001, 2002, 2004); Dodds and Monroe (1985); Dodds et al. (1991); Grewal et al. (1998a); Li et al. (1994); Monroe (1979, 1990); Monroe and Chapman (1987); Monroe and Krishnan (1985); Oh (2003); Teas and Agarwal (2000); Wood and Scheer (1996) state the importance of price which does a bearing on the marketability of a
For the 3 days intake I’ve tried to change my eating habit, even though I’m not a fast food eater. I use to eat in the afternoon after work, because I’m not a morning eater. When I do eat breakfast I would just drink a cup of orange juice which is full of vitamin c, low in saturated fat, Trans fat, it can help reduce heart disease. Since I started I eat more whole grain oat cereal. I made spaghetti enough to keep extra in my fridge for three days, and spaghetti has
In order to sell a product, a company must transform a product and turn its use value into an exchange value. The company needs to make their product seem more valuable than it is actually
...can be key in improving customer sales. If a customer does not see the value of an organization's product, that customer may begin to shop for a competitor's product based only on price. Price is not the only competitive advantage an organization may have, but if it is not able to articulate the non-price value, it can significantly lower the organization's competitive advantage.
Encouraging people to acquire more virtues pressures their character to grow. Having no formula or theory means virtue ethics relies on self-improvement. Moreover, virtue ethics switches the focus from the act to the agent. Rather than feeding the homeless out of duty, an individual who has virtue ethics would do this because he or she is compassionate. Thus, virtue ethics emphasizes decisions and actions based on the moral agent and his or her moral well-being, not just on what is lawfully
For organisations to be truly marketed-orientated they must exceed the value offered by their competitors; and at the same time, the overall goals of the organisation must be achieved. Additionally, for marketing to be carried out effectively and efficiently throughout the organisation, then it must involve analysing, planning, implementation, and control (Kottler and Armstrong, 2012). According to Kottler and Armstrong (2012, p. 5), the modern marketing concept can be expressed as “the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return”. Tesco’s, it appears, may have managed to successfully achieve this.
There are many criticisms towards virtue ethics – the most notable are self-centeredness, action-guiding and moral luck. To get a deeper understanding of these criticisms, I will explore two of these criticisms: self-centeredness and moral luck and then discuss a virtue ethicist’s reply to the objection of moral luck.
This research focuses on “the Effect of Product Variation to the Consumer’s buying Preference.” Specifically, it aims to the following specifics question. What are the effects of product variation to the consumer’s buying preference? How product variation does affect the consumer’s buying preference? What is the importance of product variation? This research aims to identify the effect of product variation to the consumers’ buying preference. Identify the differentiation of products...
Effective teachers do not only transfer knowledge to students, but are reflective and eager to understand their students so as to establish a culture in the classroom that supports student achievement. This paper will focus on what motivation means, how to get students motivated, and the impact of motivation on student attitude both inside and outside the classroom. Also, the paper will address the place of the parent as role model and the impact of their involvement on their children’s education.
Value can mean different things to different people; it is measured by a product’s performance and by the elements it is made up of which customers are prepared to pay for. (Hanson et al, 2008)