Discuss the role of price in the marketing strategy for Rolex watches. Contrast Timex’s price strategy with Rolex’s strategy. Which elements from the steps (above) are most (and least) important in pricing strategy for each brand? The Toyota Camry and the Lexus ES 350 are very similar but the ES 350 is priced substantially higher than the Camry. Why is the Lexus consumer segment willing to pay the premium for Lexus? Explain in terms of product benefits and psychological/social benefits. Why might manufacturers such as Toyota and Ford choose not to own their dealers but instead establish contractual relationships with them?What are the advantages and limitations of the use of multiple channels of distribution by a manufacturers? Give one example. How do hotel brands, such as Marriott, utilize omni channel distribution?Discuss each type of vertical marketing system (VMS) – company-owned, contractual (3 types) and administered. Identify and discuss some of the factors that should increase the trend toward collaborative relationships in vertical marketing systems.
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