Louis Estrada is Regional Manager at Commander Electronics in Atlanta, Georgia. He received an e-mail from Joseph Grimes, a frustrated restaurant owner who is demanding a steep price match for all his trouble with two new 4K Ultra HD televisions that both malfunctioned (see Activity 6.12). He had bought a Samsung QLED Q90R 65" 4K UHD TV (QN65Q90RAFXZA) at Commander Electronics for $2,597.99 plus tax. After installing it, he found, much to his chagrin, that the TV set failed the very next day. Wanting a new TV as soon as possible, he drove 30 minutes to the same Commander Electronics store to exchange the faulty model for another Samsung QLED Q90R 65" 4K UHD TV. A few days later, this TV also conked out. Again Joseph had to return the TV set, but this time he insisted on exchanging it for a different brand, a comparable LG 65" 4K UHD HDR Smart OLED TV (OLED65C8PUA) or a larger Sony 75" 4K Ultra HD Smart LED TV (XBR75X940E) that also fit Joseph’s criteria. However, at almost $3,000 both sets cost more than he had budgeted. The e-mail landed in Mr. Estrada’s inbox because the lower-level sales managers were not authorized to grant an adjustment of such magnitude. Mr. Estrada empathizes with the customer, but the price difference is too great. He decides to grant the adjustment as long as Mr. Grimes instead accepts the older, soon-to-be-discontinued model of the LG TV that Mr. Estrada would be able to provide in a swap. Alternatively, Mr. Estrada can offer the customer a substantially reduced smaller Sony 65" TV, a floor model for only $100 more than what the customer had paid for the Samsung. Of course, Mr. Grimes could also try his luck with another Samsung QLED Q90R 65" 4K UHD TV that would require no additional payment. Your Task. Because he wants to respond promptly to the frustrated customer, Mr. Estrada asks you to write an adjustment e-mail to Joseph Grimes (jogrimes@gmail.com) and explain his options. Copy the store manager, Norah Reyes, who has called Mr. Estrada about Mr. Grimes’s request.

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
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Louis Estrada is Regional Manager at Commander Electronics in Atlanta, Georgia. He received an e-mail from Joseph Grimes, a frustrated restaurant owner who is demanding a steep price match for all his trouble with two new 4K Ultra HD televisions that both malfunctioned (see Activity 6.12). He had bought a Samsung QLED Q90R 65" 4K UHD TV (QN65Q90RAFXZA) at Commander Electronics for $2,597.99 plus tax. After installing it, he found, much to his chagrin, that the TV set failed the very next day. Wanting a new TV as soon as possible, he drove 30 minutes to the same Commander Electronics store to exchange the faulty model for another Samsung QLED Q90R 65" 4K UHD TV.

A few days later, this TV also conked out. Again Joseph had to return the TV set, but this time he insisted on exchanging it for a different brand, a comparable LG 65" 4K UHD HDR Smart OLED TV (OLED65C8PUA) or a larger Sony 75" 4K Ultra HD Smart LED TV (XBR75X940E) that also fit Joseph’s criteria. However, at almost $3,000 both sets cost more than he had budgeted.

The e-mail landed in Mr. Estrada’s inbox because the lower-level sales managers were not authorized to grant an adjustment of such magnitude.

Mr. Estrada empathizes with the customer, but the price difference is too great. He decides to grant the adjustment as long as
Mr. Grimes instead accepts the older, soon-to-be-discontinued model of the LG TV that Mr. Estrada would be able to provide in
a swap. Alternatively, Mr. Estrada can offer the customer a substantially reduced smaller Sony 65" TV, a floor model for only $100 more than what the customer had paid for the Samsung. Of course, Mr. Grimes could also try his luck with another Samsung QLED Q90R 65" 4K UHD TV that would require no additional payment.

Your Task. Because he wants to respond promptly to the frustrated customer, Mr. Estrada asks you to write an adjustment e-mail to Joseph Grimes (jogrimes@gmail.com) and explain his options. Copy the store manager, Norah Reyes, who has called Mr. Estrada about Mr. Grimes’s request.

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