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Outotec was a market leader in providing mining solutions to large mining companies. The company's specialization and proprietary technology created value for its customers and helped the firm differentiate from its competitors. Yet, Outotec was not pricing or marketing its solutions in a way that took advantage of its distinct capabilities and value-add. Outotec used a cost-based (inside/out) pricing policy, which was the industry norm. As a result, operating profit was only 8% of sales and the CEO had promised the investment community improvements above 10%. Outotec wanted to move from a cost-based (inside/out) to a value-based (outside/in) pricing and selling model to capture more profitable revenues and meet profitability targets the CEO announced to investors. But there were several challenges to this, which the case highlights for students to discuss and debate.

Outotec was a market leader in providing mining solutions to large mining companies. The company's specialization and proprietary technology created value for its customers and helped the firm differentiate from its competitors. Yet, Outotec was not pricing or marketing its solutions in a way that took advantage of its distinct capabilities and value-add. Outotec used a cost-based (inside/out) pricing policy, which was the industry norm. As a result, operating profit was only 8% of sales and the CEO had promised the investment community improvements above 10%. Outotec wanted to move from a cost-based (inside/out) to a value-based (outside/in) pricing and selling model to capture more profitable revenues and meet profitability targets the CEO announced to investors. But there were several challenges to this, which the case highlights for students to discuss and debate.

Catalina in the Digital Age considers how a company with a dominant market position should evolve its established product lines given the rise of novel digital technologies. Since its founding in 1983, Catalina had enjoyed a distinct position in the world of consumer promotions. Serving both retailers and consumer packaged goods (CPG) firms, the company's core business was distributing "cents off" coupons to shoppers via proprietary printers at checkout registers. This position allowed them to offer coupons that were "personalized" to the purchases that had just been made in the current transaction. The advent of shopper loyalty cards in the 1990s allowed them to expand that targeting to take shopper's history of purchase into account as well. In many ways, they were a successful "big data" firm well before the term became an industry buzzword.

Altius Golf is the clear leader in the golf ball market despite a long-term decline in the number of golfers and a drop in sales following the financial crisis. The firm has maintained its position by introducing generations of advanced, super-premium golf balls that allow their customers to emulate professional golfers. The company has been losing market share to lower-priced competitors and the CEO wants to introduce a new program called Elevate to foster the next generation of golfers. With Elevate, the firm will introduce a ball that is more forgiving and easier to drive for distance and offer it at a price 40% below the company's flagship brand. Elevate will be available through "off-course" channels such as golf specialty stores and big box retailers instead of "on-course" pro shops where the firm typically sells its products. The board of directors is divided on whether to support the decision. Students must perform a quantitative analysis of the CEO's proposal to understand the potential risks and gains before making a final recommendation.

Spreadsheet Supplement for Product #913578

How do you blow a $1.7 billion merger? You buy a company with a popular brand name, dilute the brand, and sell it for a fifth of what you paid for it. This case explores the merger between Snapple Beverages and Quaker Oats, considered "one of the worst mergers of all time". Using this case, students will learn about the importance of a brand name. Snapple Beverages is also included in Module 3: Sources of Business Stress of the course Business Thought & Action.

The majority of new product ideas never make it to market. This note is a concise description of what separates the winners from the losers. In other words, what are the characteristics of good opportunities for successful new products or services? This note is an ideal tool for introducing research and insights about product success rates. This case can be taught in conjunction with the profile "A Personal Genomics Company: 23andMe." This case is included in Module 2 of the course Business Thought & Action.

This case details the history of Zantac, one of Glaxo's most successful products, from inception to deterioration when faced by the rise of generics. In doing so, the mini-case describes the main players, trends and obstacles dominating the pharmaceutical industry today. This case is included in Module 1 of the course Business Thought & Action.

This case is comprised of three concise vignettes describing three different online commerce sites: eBay, StubHub, and Swaptree. All three have become viable companies very quickly. From their experiences, lessons can be learned about making a market. This case can be used for students to compare and contrast the three different systems as well as analyze who the beneficiaries are of the new markets these companies have created. This case is included in Module 1 of the course Business Thought & Action.

Presents the basic principles of pricing, including value pricing, price sensitivity, and price customization/discrimination.

Spreadsheet supplement for case 506021.

Abgenix has a unique method for generating antibodies useful in treating a number of diseases, including cancer. In early 2000, the company's cancer has performed very well in animal testing and is moving to early stage human testing. Abgenix must decide whether to sell the product development program to a large pharmaceutical company or to enter into a joint venture to push the product ahead.

Describes the challenges a firm faces in building and sustaining a value proposition over time. Describes major ways in which the marketing environment changes over time and the methods a firm can use to protect its market position.

Provides an introduction to key product policy issues.

Priceline.com is a new concept shifting the setting of price from sellers to buyers. The company aspires to use its patented process of advertising units of demand at named prices to suppliers in many categories. This case focuses on its initial use in the airline industry.

Presents a framework for determining prices for products and services in concert with the value provided to customers. Discusses methodologies for estimating customer value.

Spreadsheet supplement for case 500071.

Considers the impact of the Internet on how market exchanges will take place. Discusses the role of shopping agents and alternatives to fixed prices such as negotiations, auctions, and exchanges.