Marketing writing

Principles of Marketing – MKTG 3010-004 – Spring 2019

Homework #5: Pricing a New Product Due: by beginning of class on Monday April 1. Late papers will lose 4 points, and 2 additional points for

every day late past the deadline.

Instructions: This is a written assignment that should fit on a maximum of 3 single-sided 8.5 by 11”

pages. Please double space and format in 11 point Times Roman at the smallest. The layout should be

legible.

Make sure your name and UNID are on your write-up; submit as a PDF file via Canvas.

Read the HW5 Background Information posted to Canvas. In a maximum of three pages – fewer is fine if

you can answer the questions well – answer the following questions and decide on a final price:

(1) Which of the two possible target markets should Eliza Minden pick, and why? (3 points)

(2) What feature(s) of the new pointe shoe will the target market find most valuable? (2 points)

(3) What price will you set for a pair of shoes, and why? Set a precise dollar price rather than a

range. In your explanation, make reference to three relevant pricing concepts/terms from this

course – e.g., cost vs. perceived value pricing, break even, skimming vs. penetration, product

line pricing, segmented pricing, etc., etc. (3 points)

The point of the homework is to think through the pricing decision on your own. This is a real company,

so please don’t use Google to help with your answers. Discovering what the company actually did is not

the “correct” answer that you must emulate for this assignment; there are many possible good

decisions.