Subject category:
Marketing
Published by:
London Business School
Length: 11 pages
Data source: Field research
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Abstract
It is October 2009 and Gary Fry, chief executive officer of Global Graphics, is faced with a tough decision. Global Graphics-a technology expert with 20 years experience in developing and selling printing equipment and software exclusively to original equipment manufacturers-is about to release a revolutionary desktop PDF application targeted directly at office workers. With less than two months before the official launch, however, there is still considerable debate on what the actual price of the product should be. Fry is adamant that the ''right'' price will help Global Graphics achieve both the sales and customer acquisition objectives set by the management team. In addition, he understands the importance of establishing Global Graphics as a viable alternative to Adobe, the undisputed leader in the end user market for business software. What is the price point that best serves these seemingly-conflicting interests?
About
Abstract
It is October 2009 and Gary Fry, chief executive officer of Global Graphics, is faced with a tough decision. Global Graphics-a technology expert with 20 years experience in developing and selling printing equipment and software exclusively to original equipment manufacturers-is about to release a revolutionary desktop PDF application targeted directly at office workers. With less than two months before the official launch, however, there is still considerable debate on what the actual price of the product should be. Fry is adamant that the ''right'' price will help Global Graphics achieve both the sales and customer acquisition objectives set by the management team. In addition, he understands the importance of establishing Global Graphics as a viable alternative to Adobe, the undisputed leader in the end user market for business software. What is the price point that best serves these seemingly-conflicting interests?