Explore BrainMass
Share

# pricing

This content was STOLEN from BrainMass.com - View the original, and get the already-completed solution here!

You need to discuss pricing with senior management. Prepare talking points on how ITO should price its services compared to the many domestic and international companies in the same market niche and why. Be sure to include pricing strategies for on-site versus off-site projects. Also include strategies for:

* short duration, small staff projects
* long duration, large staff projects
* projects that fall in between these two categories

Also include your suggestions about how to handle competition, especially off-shore (i.e. India) or near-shore (i.e. Canada) competition offering very low pricing. Discuss how often ITO Company's pricing structure should be reviewed and why.

#### Solution Preview

The response address the queries posted in 563 words with references.
//As per the directions, we will write about the outsourcing technology of the ITO firm. We will write about the pricing structure of the ITO Company. On the basis of the staff projects, the outsourcing strategy and pricing strategy of the Company will be discussed. Finally, the conclusion of the overall discussion will also be described.//

Introduction

ITO is an outsourcing firm of the US that outsources the technology to the other nations. ITO services are provided at lower costs. In the present time, ITO services are increasing in the off-shore countries for reducing the costs. This trend is also helping in the improving of the service levels and processes. There are many areas in the ITO services like system management, network management, risk management, etc. (Overview, 2006).

Pricing strategy

ITO should price for its services ...

#### Solution Summary

The response address the queries posted in 563 words with references.

\$2.19

## Regression Model with Advertising Expenditures and Price Index

Laura wanted to build a multiple regression model based on advertising expenditures and coffee times price index. Based on the selection of all normal values she obtained the following:

1) Multiple R = 0.738

2) R-square = 0.546
By using lagged values she came up with the following:

3) Multiple R = 0.755

4) R-square = 0.570

Explain the differences in using these different models. How could CoffeeTime further optimize this model and explain?

Tourism is one consideration for CoffeeTime's future. A survey of 1,233 visitors to Mumbai last year revealed that 110 visited a small cafe during their visit. Laura claims that 10% of tourists will include a visit to a cafe. Use a 0.05 significance level to test her claim. Would it be wise for her to use that claim in trying to convince management to increase their advertising spending to travel agents? Explain.

View Full Posting Details