1,898 research outputs found
Innovation in pricing: Contemporary theories and best practices, second edition
No full textValue-based pricing is often recommended as superior pricing strategy (e.g. Dolan & Simon, 1996; Hinterhuber, 2008; Liozu et al., 2012; Marn et al., 2004; Monroe, 2003). However, while many studies provide detailed analytical recommendations on how to identify customer value and competitor prices (Forbis & Mehta, 1981; Kortge & Okonkwo, 1993; Marn et al., 2004; Monroe, 2003; Shapiro & Jackson, 1978; Smith & Nagle, 2005), the internal coordination and control mechanisms that determine firms’ ability to implement value-based pricing are often more vaguely described. 1 For example, coordination and cooperation between different business departments (Dolan, 1995; Dutta et al., 2002; Lancioni, 2005b; Lancioni et al., 2005; Monroe, 2003; Nagle & Holden, 2002; Vogel et al., 2002) is identified as a key success factor for a more effective pricing but seldom elaborated. This is troubling since prior studies have found that firms often find it difficult to replace less effective pricing strategies, such as cost-based pricing and competition-based pricing, with value-based pricing (Hinterhuber, 2008). One reason for this may be that firms lack clearly specified authority levels for granting list price discounts to customers and systems for monitoring the sales force (Hallberg, 2017a; Johansson et al., 2012; Stephenson et al., 1979)
Digital transformation and the role of customer-centric innovation: Interview with the chief value officer, Thales
No full textAndreas Hinterhuber and Stephan Liozu discuss several salient aspects of the digital transformation
of traditional industrial companies. Stephan Liozu is chief value offi cer (CVO)
of Thales, one of the world’s largest aerospace and defense companies that has invested
heavily in digitalization. Digital transformation requires new business models that are frequently
located in a separate organizational unit. The digital transformation requires a shift
from single products to the ecosystem. In order to implement the digital transformation
successfully, several issues are key: superior customer insights and true customer orientation;
acquisition of new, digital analytics capabilities; partnerships; fi nally, a careful balance
between broad experimentation and a few, narrow bets that deliver results and prove the
viability of digitalized solutions
Pricing as a driver of profitable growth: An agenda for CEOs and senior executives
No full textMost CEOs take a narrow, tactical view of pricing and delegate pricing to lower levels of the organization. This myopic approach is costly, as it prevents companies from realizing their potential. In the hands of the best-run companies, pricing is not a battlefield tactic to win a particular competitive skirmish but a transformative long-term strategy for sustained competitive advantage. We present an agenda of six specific action items that defines how to unlock the power of pricing. CEOs and senior executives, our research suggests, should not set prices, but instead, they should create the context, the capabilities, the behaviors, the infrastructure, and the aspirations that enable their organization to excel in pricing
Digital Pricing Strategy: Capturing Value from Digital Innovations
No full textDigital Pricing Strategy provides a best practice overview of how companies design, analyse and execute digital pricing strategies. Bringing together insights from academic and professional experts globally, the text covers essential areas of the value and pricing of data, platform pricing, pricing of subscriptions and monetization of the global environment.
Case studies, examples and interviews from leading organizations, including Zuora, Honeywell, Relayr, Alcatel Lucent, ABB, Thales and General Electric, illustrate key concepts in practice. To aid student learning, chapter objectives, summaries and key questions feature in every chapter, alongside PowerPoint slides and a test bank available online for lecturers.
Comprehensive and applied in its approach, this text provides postgraduate, MBA and Executive Education students with an understanding of the capabilities, processes and tools that enable executives to effectively implement digital transformations and capture value from digital innovations
Editorial — Behavioral and psychological aspects of b2b pricing
No full textIn this paper we define core research questions falling within the domain of behavioral and psychological aspects of B2B pricing. We then present the papers accepted for this special issue. Central research questions are, in our view, all those instances where decisions about price violate basic principles of rational choice. Decisions about price involve two main actors. First is the customer. We are interested in how customers' purchase decisions in B2B exhibit behavioral patterns that are inconsistent with rational choice models. Second is the manager. Managers set prices and in this process are equally susceptible to violating fundamental principles of rational choice. For this special issue we have been able to accept six papers. We welcome the debate that these papers are likely to start. (C) 2015 Elsevier Inc. All rights reserved
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