3D printing could just change the way we look at things, it could also change the way companies manufacture products. Acoording to this article in HBR, “As applications of the technology expand and prices drop, the first big implication is that more goods will be manufactured at or close to their point of purchase or consumption.
The video below explains a very interesting fact about how colors can impact our willingness to pay. Moreover, brand awareness is also related to pricing, and consumers perception towards prices, specially when consumers are price sensitive. All this said I wonder how come Walmart offer lowest prices and all there marketing campaigns market to this factor, but at the same time Chinese consumers were sensitive to their prices?
The video below explains differences between Walmart US and China, and how Walmart China managed to overcome some of these differences. As consumers we believe that German cars are the most expensive and provide the best service among automobiles, and we are willing to pay the highest prices for them.
Success for any company is measured by its profit, and profit is restrained by its pricing strategy.
In addition to the pricing strategies mentioned we have another important factor, which is the geographical factor. Although it appears that the US might not have any hand in this, Financial Times argues that there is a huge benefit to the US.
International trade provides so much more growth opportunities for small to medium size businesses as well as large enterprises. On the other hand the global market is fast-moving and dynamic, so your marketing communication needs to reflect this.
This booklet provides an introduction to the International Trade and explains pitfalls to avoid. When my first child was born in 2010, I was so excited about every little detail of being a new Mom. So, my husband and I went to Automax and spent several hours driving every SUV, cross-over and wagon they had on the lot. When I drove off that lot, I suddenly thought I was the “hottest” mom on the roadway; my status from exhausted, barely-holding-it-together, new Mommy was immediately replaced with successful, chic and powerful Mama with an attitude.
How could I know that one year later, my car would be bought back from Mercedes because it was in the shop 14 times for different failures? Looking back (now, I have a mini-van with 2 car seats), I started to think about the car and the luxurious lifestyle it represented and how much value I put in that image. I decided to look up the cost of a 2012 E Class Wagon in Berlin, Germany verses the cost here in the US.
I expected a small markup due to various import charges, taxes, adjustments to the function and design to meet US auto standards, but I found out that Mercedes sold in the US are built in Alabama! I think I need to re-evaluate what I deem a responsible financial purchase when it comes to cars and the “image” I want to display.
Years after Levi’s were first introduced to the clothing market, these jeans have a certain allure that many people still want to be associated with, 160 years after their first appearance.
When I came back to the United States after being gone a year, I was shocked to find out how the Levi’s 501 Jeans were still “cruising” along in terms of desirability in the US fashion market.
Last night, I was reading up on Paris’s Fashion week and was reminded about the Levi’s fashion movement of my junior high years.
In 2007, Levi’s was in the process of changing their marketing strategies to incorporate premium, Super premium and Connoisseur purchasing audiences. Levi’s competitive market was with local Indian brands who sold their jeans for USD $15-30. It seems that the desirability to own Levi’s jean is still extremely valuable and Levi’s continues to modify its image and value to meet market demands. Levi’s has found a way to become a part of each of its international market segments and retain value over long periods of time.
I wonder if the pricing structure of Kanye West’s new clothing line’ took into account the economics of markets he was selling to. While I was writing my last blog on the varying price based on geographical location of Starbucks’ lattes, I learned about PPP (Purchasing-Power parity).
PPP is “the theory that, in the long run, identical products and services in different countries should cost the same in different countries. So the idea of the PPP and the Big Mac Index is that if Big Mac had the identical utility to every person on earth, than the prices of the exchange should converge to create identical PPPs for all Big Macs in all countries.
So again, going back to my last blog, using this thought, all Starbucks lattes are identical therefore should  give to consumers the same utility everywhere on earth.  Keep mind that local markets can vary the outcome in this theory.
SO the poor weather in Seattle encourages people to purchase more coffee increasing the demand for Starbucks lattes and therefore their price. I have traveled for a living for the past 25 years; I am familiar with exchange rates, differences in prices and also products that are region specific. So, I found an interesting 2012 article from the Wall Street Journal discussing the various latte prices at Starbucks. As the table shows, “In countries where the currency is overvalued, a dollar doesn’t go that far…It would take more dollars to buy a Starbucks latte in a country with a strong currency, like Norway, than in one with a currency that has less buying power, like India”.
Additional thoughts are how costs are higher in Starbucks where geographically, they had different skews, such as flavors, sizes and slightly altered packaging to reflect local preferences.  Those can run the costs up in that region as well if those expenses are not being distributed throughout the company line.
So, next time you order your latte in Oslo, you might want to think about how much you really want to spend for that specialty drink.  You can probably get a quicker, cheaper cup of coffee (maybe even for free) at your hotel.
The target consumers seem to be well off adults and young adults who are active and enjoy traveling. Lets take an example of a car dealership that imports cars from Europe, Japan and South Korea. According to a press release by FIFA, in September 24th, third party ownership is to be banned over the next period. Third-party ownership is most commonly used in South America where clubs struggle to finance its operations and struggle to have an adequate financial resources to meet the club’s economic needs in a highly competitive industry where most revenues for such clubs are made by selling a star player every once in a while to one of the big European football clubs. The reason behind the ban is that third-party ownership have raised player’s prices and this is against fair sporting competition where money should not be the only motivation according to some sporting community officials who are with banning this practice.
Although third-party ownership had delivered so many benefits for financially struggling clubs in terms of training and accommodating their young players, the question remains whether this move is going to affect players prices negatively or positively on the long run. Valued at $1.3 billion, the already banned practice in England and France, third-party ownership will surly impact the next transfer market prices next January and will also have a long term impact in the industry. Just think of the possibilities that this could open, and the industries that 3D printing could bring to an end!
Similar to the way the Internet leveled the playing the field, solving the challenges of reach and enabling everyone to play, that’s what is happening with manufacturing today.


This is probably because of suppliers in the US, Walmart had a sufficient number of suppliers while in China they didn’t when they first started which made it harder for them to reduce costs, and easier for competitors to offer lower prices.
The geographical factor allows companies to implement these pricing strategies in three different ways.
The oil production suffered and will continue to suffer from this price drop, but lower oil prices will eventually benefit the US economy. And it is much easier to work with a  company who understands international trade and have attack record in helping businesses to achieve their global dreams.
My biggest decision besides what type of diapers to use was: was I ready to take on the stereotypical mom minivan image or should I resist this and go for a more hip SUV? After several hours, I discovered the Mercedes R350; the clouds parted, the angels started to sing and a direct spotlight brightly focused on this glorious chariot.
I loved my car with a deep passion and would have slept in it happily if my husband would have let me. Rather than issue a recall, Mercedes paid me the complete amount that I paid for the car and we parted company amicably. Well, I have had Explorers and Expeditions and trust me; they were in the repair shop a lot!
The Japanese culture was obsessed with anything that was “American.” “Knock-off” Levi ‘s 501 jeans were on every street corner and were prized possessions. I had been under the impression that Levis Jeans were suddenly the hot item based on how important they were to international markets. These jeans were of good quality but did not have the brand recognition that Levi’s possessed. While his clothing line is considered a “premiere” or elite product line, will it have longevity beyond his present popularity or a few small markets?
But somehow, my favorite treat, Starbucks’ lattes, has become a significant monthly expense, especially when I am in transit.
It fits the need of forgetting to take pictures at a location you are visiting and with a camera constantly taking pictures you won’t miss out on any details.
I guess I am one of those individual who is skeptical and would want to hear feedback from family and friends before giving it a try. Whether this risk is associated with their exports and imports or with the changing prices of commodities. Fuel is a commodity that is affected generally by supply, demand, gas production levels…etc. Also, what would be the effect on the clubs who are relaying on this practice as the main revenue stream of their clubs  where sponsor-ships, TV rights, and memberships are not enough to meet the economic needs of such clubs. Imagine this, a 3D printer at home, an item that you like online, you purchase the item, download it, print it, and that’s it. Advertising play a huge role imprinting in people’s minds certain brands and what they stand for. We tend to look at colors and visuals before looking at prices, and here is where company branding play a huge role.
Consumers will link the price to this product, and will make decisions based on this fact. Changing the price later can be critical because of what consumers have perceived in there minds.
Shopping behaviors differ from society to another, but can these differences influence store prices?
They also tend to spend a long time shopping at grocery stores and do not spend much money, while US consumers spend less time and more money. However, after recognizing this, Walmart China managed to solve the issue and build a strong reputation in the Chinese market. It is what demonstrates how the product is going to be presented and how consumers are going to recognize this product. First, polycentric meaning the company charges one price for its product all over the world. Energy producers in turmoil, such as Russia, Iran and Venezuela, stand to lose the most, U.S. This excess capacity can not be the reason behind the price drop, but there is some explanation to it. It took less than 5 minutes for me to make the decision to buy it and two hours to negotiate a better price.
I cried a little when I dropped my R350 off at Fletcher Jones in Newport Beach….what a sad day.
My British boyfriend at the time repeatedly begged me to have Levis shipped to Japan in a “care package” for him.
At this time, they were selling about 10 million units of their Branded Jean and were hoping to capture some of that market for the Value Brand- Signature line. The potentially biggest growth market was for the Premium and Super premium denim in India; estimates for the market were about 7 million to 3 million.
Whereas, Levi’s, has lasted far beyond the original owner’s design and production and created value in the eyes of the consumers internationally for many generations over. I wouldn’t necessary feel that I would need to be taking pictures the entire time I am wearing the camera.
Their introductory pricing is $279 with free shipping, but maybe they should promote some “giveaways” and have those individuals share their experiences. I don’t vision great pictures coming out from wearing a camera around your neck, but I would consider having one while traveling. Lets say the US company imports 100 BMW cars every 3 months from Germany at a price of 40,000 euros each. Although we as small consumers do not feel this change, airline companies are highly affected.
Third-party ownership, also known as TPO,  refers to the ownership of a professional player’s economic rights or some percentage of it by a third party other than the player or his club such as sport management companies, player agents, or any other investment firms in order to receive a share of the value of any future transfer of that player. Even if the per-unit production cost is higher, it will be more than offset by the elimination of shipping and of buffer inventories. You now have the opportunity at a small scale, even as a hobbyist, to do it yourself, and to do it fairly eloquently. With the huge selection of products today, inexperienced consumers use their brand awareness as a numerous choice method in buying products.
Lets take chocolate bars as an example, in the 1970’s chocolate prices increased, firms found it hard to simply change the price on candy bars, because this will change there image in consumers minds. Unfortunately they do, this is because price sensitive consumers search for lowest prices, thus, firms adapt there pricing strategy to meet these consumer demands. This is because Chinese consumers go to grocery stores on a daily basis, while US consumers go once or twice a week.


Given all the considerations above, we can determine that building a successful competitive advantage in one country doesn’t mean it will succeed in the other.
It seems like China is approaching an economic to a penetration pricing strategy seeking a bigger market share. Countries like Algeria, Libya, and Iraq are back to production this year after the recent events that happened in each country.
In Germany, the BMW and Mercedes are significantly less expensive, they offer many varying levels of these cars and the taxi drivers use the Mercedes as the average “workhorse” car.
It was amazing how expensive the legitimate jean versions were and how hard they were to obtain. Kanye, consisting of 2 shirts and 2 pairs of jeans; all items debuted online and sold out within hours. They priced these jeans at a unit price of USD $15-25; this was dependent on if they were being sold in a small town or a big town.
However, Levi’s would have to offer many different styles of fabric washes in order to compete with the current Indian jean manufacturing market.
Personally I like to see what I am taking a picture of and control the angles and what not. This is because companies that mostly deal with exports and imports from different areas around the world are exposed to volatile currency exchange rates.
Large fuel consuming companies such as airline companies’, need to hedge as a protection against volatile fuel prices. Whereas cars today are made by just a few hundred factories around the world, they might one day be made in every metropolitan area. As consumers, even when we are exposed to another brand that serves the same need, we tend to select the same old brand that we already know. The human mind tend to send a signal that it is brighter and better, when in reality it is the same. What they did is that they simply made chocolate bars smaller in size, selling them for the same price! Lets take Walmart as an example, it is very successful in the US market, however, when it first expanded to China it wasn’t. Retailers’ pricing strategy is generally effected by the selectiveness of Chinese consumers. Not quite the glamorous image that I was willing to spend so much money for here in the USA. The more people who have used the product, reviewed it and talk about if the value of the product is worth the price you pay then more people will be willing to try this camera.
When a company deals with long-term import or export contracts, it becomes risky to make payments in a foreign currency. According to CSC,  a global leader in providing technology enabled business solutions and services. Even if the new brand has a lower price, beacuse as a human nature, we tend to be risk averse and less likely to change. This was due to many reasons such as having a different culture, labor, infrastructure, demand, suppliers and different competitive dynamics.
This is done through understanding and analyzing economic, geographic and cultural systems. There production cost is low, because of low labor cost and the type of products developed. Second, ethnocentric strategy, where the company charges one price for its product, however, the markup is related to the country’s specific data.
While reading about Kanye’s clothing line, I stumbled on an article about the pricing of Levi’s jeans in India. Word of mouth can be a powerful tool, but they need to get the camera into customer’s hands who will talk about it. If the rate of that currency drops before the payment is thru, the corporation may endure a large loss. Because airlines know how many tickets they will sell in advance depending on the season and holidays they manage price risk in fuel by hedging fuel prices relative to the rates they want to charge clients. Lets take sports drinks as an example, PowerAde and gatorade, they both serve the same need, have the same flavors, personally i feel they both taste the same. When we watch the same commercial over and over and the brand name keeps on popping in front of our eyes, or we listen to the name very often, we tend to shift towards this certain product.
And this is what Walmart did, after realizing their mistakes; they managed to engage more in the Chinese culture. On the other hand, Germany is applying a premium strategy offering high quality and high prices seeking profit and reputation. What affect the price of the product could be taxation, tariffs, price controls, and inflation… Finally, the geocentric strategy allows companies to set up a region price for the company’s products.
I feel at this price there will be many customers who will buy the product just to try it out.
Long term if the price were to fall there might be even more potential for the product to reach even an even larger target market. Not because it is better, just because in our minds we created an image that this product is what we desire. They understood the demand and applied cost reduction by having good interaction with retailers, which helped increase their local responsiveness in the Chinese market. It does seem like a good product for traveling when you don’t want to miss out on any details.
In order for the dealership to maintain a stable price or at least reduce the risk since it is a long term contract,  it should hedge. This is because they built an image in there minds that this product serves there needs in a better way. Whereas the US is impending a skimming strategy, presenting good quality and high prices for goods and services seeking profit. Hedging against foreign exchange can be done through short-term contracts “spot” or long-term contracts “derivatives”, which decreases the exposure to this type of risk.



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