User talk:Clara1

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Good luck! --Panic (discuss • contribs) 09:22, 23 January 2012 (UTC)

please review
By the assigned time, please do a short review of the following page of the wikibook: Put your review on the talk (discussion) page relevant to that page. Your review can be a brief paragraph, and can include anything you want. The purpose is to give some ideas for how to improve the page in light of its purpose within the overall textbook. Anything you can think of which would help improve the book is fair game, here are some thoughts on what you might discuss: (Those are just thoughts, you do not need to specifically address any of those questions.)
 * Strategy_for_Information_Markets/Network_Externalities/Expectations_Management
 * Is the page relevant to how you see the textbook? Should the page be removed to a different kind of book or set aside as a "case-study"?
 * Is the page organized in a coherent way? How might it be re-organized?
 * Are there important omissions on the page?
 * Are there things on the page which should be shortened?
 * Does the page need graphics, or have too many graphics?
 * Does the page need math, or have too much math?
 * Concrete thoughts about parts that need re-writing.

Since this will be editing a talk page, be sure to "sign" your comments. You may or may not be the only student asked to look at that particular page. TDang (discuss • contribs) 20:39, 30 January 2012 (UTC)

Edit collision...
I'll post here so you can do whatever you like with it. Main points are "out of business" and "out of market" (a company may fail to compete on only on a specific product and decide that the attrition is not worth risking the rest of its commercial interests).

Prompting a competitor for an easy acquisition, strangling profitability from competitors may serve as an incentive to sell. For instance most mortician/funeral houses today are owned by larger corporations. The same occurred globally with bookstores up to a point and in Europe large corporations have taken control of real estate dealerships.

Another reason may be simply to take a larger share of the market but not to kill the competitor, for instance see Microsoft and Apple (how Bill G. gave Jobs a loan), with the objective of avoiding anti-monopolistic laws.

It is maybe interesting to mention to you for instance what is happening in Poland in relation to the EU, mostly due to EU legislation traditional exploration of small farms (historically of social important in Poland) are being put out of the market and being sold to larger international corporation, mostly German (this is also interesting due the historic traumas on the region) that benefit from EU subsidies. You can probably find more information on the WEB I'm just mentioning since it goes in line with the section you are editing.

--from the work -- A marketing strategy used by companies to entice customers to buying the product or service is penetration pricing. By charging a lower price for a product, the company can achieve critical mass. Once time passes and demand increases, meeting the the company objectives, it raises prices back up to the optimal level. When a company does this, their competitors may fail to survive the first stage, because they may not be able to keep producing at a loss. Similarly, a competing network may fail because it may lose enough members to fall below critical mass. However, the goal of penetration pricing is build a successful product/network.

Predatory pricing is another price lowering strategy similar to penetration pricing, in that both strategies involve lowering prices to increase sales; however, predatory pricing is used more focused in driving a competitor out of market, than in conquering market share.

With predatory pricing business failure occurs in two ways. One, competition is forced to match the lowering of the price below average costs. If competition cannot be sustained during the predatory pricing period, as it will not be able to make a profit it is forced out of the market. When the competition disappears or reaches a specific defined strategic threshold (for example the be brought up by the predator, or is sufficiently weakened as to offer only a token presence in the market, permitting the predator to escape anti-monopolistic laws). The predator firm is then free to adjust prices back, to what it was before or even higher, depending on the pricing strategy. The main intent behind both strategies is to take competitor profits or run them out of business in order to raise prices. One real world example of providing subsidies occurs during sports events where the first 500 people to enter the doors receive a free shirt. --from the work --

Sorry to have been editing it / or messing it up. --Panic (discuss • contribs) 04:44, 2 May 2012 (UTC)