Examines the pricing policy for a company that is a durable good is a monopoly supplier. Lowering price over time in an attempt to increase market penetration seems desirable. But it can also cause some buyers to postpone their purchases. Describes these considerations in the context of a specific example, which are numerically analyzed.

Examines the pricing policy for a company that is a durable good is a monopoly supplier. Lowering price over time in an attempt to increase market penetration seems desirable. But it can also cause some buyers to postpone their purchases. Describes these considerations in the context of a specific example, which are numerically analyzed.
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from
Adam Brandenburger,
Vijay Krishna
Source: Harvard Business School
3 pages.
Release Date: 5th January 1990. Prod #: 190110-PDF-ENG
Sales Durable Goods HBR case solution