Page 19TABLE 12-1Consolidated Diversified operated a number of companies in the computingindustry, each facing different pricing situations. At SoftSolutions, a businesssoftware company, the pricing objectives emphasised current financial outcomesover long-run performance. PCKing, a clone computer maker, was pricing to dominatethe market and focused on long-run profit from lower costs. MainFrame, theirmainframe computer arm, was plagued by too much capacity and was pricing to justhold on. At PowerStation, their workstation computer maker, the engineers madethe very best workstations on the market and prices supported a large R & D budget.At KidsPower, Consolidated priced basic PC models very low to encourage schoolkids from low income households to get into computers early.95. According to Table 12-1, Soft Solutions is most likely following which pricingobjective for Consolidated?a. Survivalb. Current profit maximisationc. Market-share leadershipd. Product-quality leadershipe. Other objectives96. According to Table 12-1, PCKing is most likely engaged in which pricingobjective?a. Survivalb. Current profit maximisationc. Market-share leadershipd. Product-quality leadershipe. Other objectives97. According to Table 12-1, the pricing objectives of MainFrame most likelyupport which of the following?a. Survivalb. Current profit maximisationc. Market-share leadershipd. Product-quality leadershipe. Other objectives98. According to Table 12-1, PowerStation appears to be following which objectiverelated to pricing?a. Survivalb. Current profit maximisationc. Market-share leadershipd. Product-quality leadershipe. Other objectives

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Answered: Page 19 TABLE 12-1 Consolidated…

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

Problem 1CE

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