You will have to look at three identical products or services produced by three different companies. Take the time to review these products and their prices. What are the differences between the prices among the products and services as well as companies? What do you think is the rationale for this price difference? (Please use American Company)
The three companies are Tutor.com, Sylvan Learning Center, and Mathnasium Learning Center.
Tutor.com's (2009) pricing:
Minutes Price per minute Price
50 minutes 60 cents a minute $29.99
100 minutes 60 cents a minute $59.98
200 minutes 50 cents a minute $99.99
300 minutes 50 cents a minute $149.99
500 minutes 46 cents a minute $229.99
Sylvan Learning Center (Hahne, 1997): 60 minutes $27 to $37
Mathnasium Learning Center ...
The solution examines three identical products by three different companies. The difference between the prices among the products and services are determined. The rationale for the price difference is given.