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| Topic: |
Business
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| Number of pages / Number of words: |
10 / 2673 |
Essay's paper body
In doing so, XM will have to establish a price that will be in the range of their demographics’ disposable income. This pricing point is so crucial because it could potentially eliminate hundreds of thousands of customers for the company. Therefore, based on XM’s market research I feel the best subscription price is $10 per month...
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I feel this is the best price because there is not as much of a drop off in potential customers from $2 to $10 based on the radio’s cost.
Obviously as with any business one of the main goals is to make every customer a lifelong customer. This is because the cost to acquire a new customer is more expensive than retaining current customers...
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