How to Fight a Price War by Rao et al

How to Fight a Price War by Rao et al Summary The article â€Å"How to Fight a Price War† by Rao et al (2000), provides business leaders with well-thought out and explicitly discussed strategies on how to deal with the price war without necessarily reducing the prices of products and/or services.Advertising We will write a custom critical writing sample on â€Å"How to Fight a Price War† by Rao et al specifically for you for only $16.05 $11/page Learn More The authors illuminate the fact that the price war is increasingly becoming widespread in organizational settings because leaders tend to view a price shift as an effortless, swift, and reversible endeavor. However, leaders need to know that they are endowed with an arsenal of options other than price cuts that they may want to consider so as to remain productive and relevant in today’s competitive business environment. The bulk of the article details these options and strategies. Main Points In their critical discussion, Rao et al (2000) outline the strategies that managers may want to use to fight the price war as follows: taking inventory by understanding the causes and characteristics of the price war through undertaking a critical diagnosis of the market scene, stopping the war before it starts by making sure that competitors not only understand the justification behind your pricing policies, but also the potential consequences of lowering prices, responding with non-price actions such as customer price sensitivities, quality interventions, highlighting of negative consequences related to price reductions, and help-seeking behaviors, using selective pricing actions such as multiple-part pricing, quantity discounts, loyalty programs, time-of-use pricing and bundling, fighting it out with competitors through direct, retaliatory price cuts, retreating by ceding some market share to competitors. Critique The article is a must read for price leaders and other organizational managers engaged in ensu ring that their respective organizations remain competitive in the face of extensive and sometimes back-biting price wars. The authors not only undertake a critical analysis of the various strategies that could be used to quell price disruptions from competitors, but they also provide industry specific, practical case examples of organizations that have used these interventions with a fair share of success. From the reading, however, it appears that some interventions are more successful in selected industry-specific organizations than in others. The strategy of retreating by ceding some market share, for instance, seems to work well with technology-oriented firms (e.g., computer manufacturing companies), but fails in service-oriented firms (e.g., fast food firms and hotels).Advertising Looking for critical writing on business economics? Let's see if we can help you! Get your first paper with 15% OFF Learn More Equally, organizations within the carrier indus try seem to benefit from some interventions, but certainly not from all the interventions highlighted (Rao et al, 2000). It would have been more plausible if the authors had explicitly stated which interventions are relevant to particular industries. There are two strategies that catch they eyes of the reader due to their intense practicability – responding with non-price actions and using selective price actions (Rao et al., 2000). In the former strategy, it can be argued that most global organizations doing business today are emphasizing quality aspects rather than price, with results demonstrated in positive image and reputation. However, the authors could have taken more time to explicate the dynamics of complex market scenarios, where neither non-price actions nor selective price actions seems to work. A case in point is the Chinese market, where players seem not to care much about quality issues and government mandarins heavily subsidize local industries to protect them from stiff competition. Conclusion The article introduces some fundamental concepts than could be used by organizations to fight the price war without necessarily triggering retaliatory price slashing, which could be costly to their competitive as well as operational efficiencies. Reference Rao, A.R., Bergen, M.E., Davis, S. (2000). How to fight a price war. Harvard Business Review, 107-116. Reprint R00208

History of Matches - Inventors and Methods

History of Matches - Inventors and Methods If you need to start a fire do you rub sticks together or break out your handy flint? Probably not. Most people would use a lighter or a match to start a fire. Matches allow for a portable, easy-to-use source of fire. Many chemical reactions generate heat and fire, but matches are a fairly recent invention. Matches are also an invention you probably wouldnt choose to duplicate if civilization ended today or you were stranded on a desert island. The chemicals involved in modern matches are generally safe, but that wasnt always the case: 1669 [Hennig Brand or Brandt, also known as Dr. Teutonicus] Brand was an Hamburg alchemist who discovered phosphorus during his attempts to turn base metals into gold. He allowed a vat of urine to stand until it putrified. He boiled the resulting liquid down to a paste, which he heated to a high temperature, so that the vapors could be drawn into water and condensed into... gold. Brand didnt get gold, but he did obtain a waxy white substance that glowed in the dark. This was phosphorus, one of the first elements to be isolated other than those which exist free in nature. Evaporating urine produced ammonium sodium hydrogenphosphate (microcosmic salt), which yielded sodium phosphite upon heating. When heated with carbon (charcoal) this decomposed into white phosphorus and sodium pyrophosphate:(NH4)NaHPO4 - †º NaPO3 NH3 H2O8NaPO3 10C - †º 2Na4P2O7 10CO P4Although Brand tried to keep his process a secret, he sold his discovery to a German chemist, Krafft, who exhibited phosphorus throughout Europe. Word leaked out that the substanc e was made from urine, which was all Kunckel and Boyle needed to work out their own means of purifying phosphorus. 1678 [Johann Kunckel]Knuckel successfully made phosphorus from urine. 1680 [Robert Boyle] Sir Robert  Boyle coated a piece of paper with phosphorus, with a separate splinter of sulfur-coated wood. When the wood was drawn through the paper, it would burst into flame. Phosphorus was difficult to obtain at that time, so the invention was only a curiosity. Boyles method of isolating phosphorus was more efficient than Brands: 4NaPO3 2SiO2 10C - †º 2Na2SiO3 10CO P4 1826/1827 [John Walker, Samuel Jones] Walker serendipitously discovered a friction match made from antimony sulfide, potassium chlorate, gum, and starch, resulting from a dried blob on the end of a stick used to stir a chemical mixture. He didnt patent his discovery, though he did show it to people. Samuel Jones saw the demonstration and started to produce Lucifers, which were matches marketed to the Southern and Western U.S. states. Lucifers reportedly could ignite explosively, sometimes throwing sparks at a considerable distance. They were known to have a strong firework odor. 1830 [Charles Sauria] Sauria reformulated the match using white phosphorus, which eliminated the strong odor. However, the phosphorus was deadly. Many people developed a disorder known as phossy jaw. Children who sucked on matches developed skeletal deformities. Phosphorus factory workers got bones diseases. One pack of matches contained enough phosphorus to kill a person. 1892 [Joshua Pusey] Pusey invented the matchbook, however, he placed the striking surface on the inside of the book so that all 50 matches would ignite at once. The Diamond Match Company later purchased Puseys patent and moved the striking surface to the exterior of the packaging. 1910 [Diamond Match Company] With a worldwide push to ban the use of white phosphorus matches, the Diamond Match Company got a patent for a non-poisonous match which used sesquisulfide of phophorus. U.S. President Taft requested that Diamond Match give up their patent. 1911 [Diamond Match Company] Diamond yielded their patent on January 28, 1911. Congress passed a law placing a prohibitively high tax on white phosphorus matches. Present Day Butane lighters have largely replaced matches in many part of the world, however matches are still made and used. The Diamond Match Company, for example, makes more than 12 billion matches a year. Approximately 500 billion matches are used annually in the United States. An alternative to chemical matches is fire steel. Fire steel uses a striker and magnesium metal to produce sparks which may be used to start a fire.

History of Matches - Inventors and Methods

History of Matches - Inventors and Methods If you need to start a fire do you rub sticks together or break out your handy flint? Probably not. Most people would use a lighter or a match to start a fire. Matches allow for a portable, easy-to-use source of fire. Many chemical reactions generate heat and fire, but matches are a fairly recent invention. Matches are also an invention you probably wouldnt choose to duplicate if civilization ended today or you were stranded on a desert island. The chemicals involved in modern matches are generally safe, but that wasnt always the case: 1669 [Hennig Brand or Brandt, also known as Dr. Teutonicus] Brand was an Hamburg alchemist who discovered phosphorus during his attempts to turn base metals into gold. He allowed a vat of urine to stand until it putrified. He boiled the resulting liquid down to a paste, which he heated to a high temperature, so that the vapors could be drawn into water and condensed into... gold. Brand didnt get gold, but he did obtain a waxy white substance that glowed in the dark. This was phosphorus, one of the first elements to be isolated other than those which exist free in nature. Evaporating urine produced ammonium sodium hydrogenphosphate (microcosmic salt), which yielded sodium phosphite upon heating. When heated with carbon (charcoal) this decomposed into white phosphorus and sodium pyrophosphate:(NH4)NaHPO4 - †º NaPO3 NH3 H2O8NaPO3 10C - †º 2Na4P2O7 10CO P4Although Brand tried to keep his process a secret, he sold his discovery to a German chemist, Krafft, who exhibited phosphorus throughout Europe. Word leaked out that the substanc e was made from urine, which was all Kunckel and Boyle needed to work out their own means of purifying phosphorus. 1678 [Johann Kunckel]Knuckel successfully made phosphorus from urine. 1680 [Robert Boyle] Sir Robert  Boyle coated a piece of paper with phosphorus, with a separate splinter of sulfur-coated wood. When the wood was drawn through the paper, it would burst into flame. Phosphorus was difficult to obtain at that time, so the invention was only a curiosity. Boyles method of isolating phosphorus was more efficient than Brands: 4NaPO3 2SiO2 10C - †º 2Na2SiO3 10CO P4 1826/1827 [John Walker, Samuel Jones] Walker serendipitously discovered a friction match made from antimony sulfide, potassium chlorate, gum, and starch, resulting from a dried blob on the end of a stick used to stir a chemical mixture. He didnt patent his discovery, though he did show it to people. Samuel Jones saw the demonstration and started to produce Lucifers, which were matches marketed to the Southern and Western U.S. states. Lucifers reportedly could ignite explosively, sometimes throwing sparks at a considerable distance. They were known to have a strong firework odor. 1830 [Charles Sauria] Sauria reformulated the match using white phosphorus, which eliminated the strong odor. However, the phosphorus was deadly. Many people developed a disorder known as phossy jaw. Children who sucked on matches developed skeletal deformities. Phosphorus factory workers got bones diseases. One pack of matches contained enough phosphorus to kill a person. 1892 [Joshua Pusey] Pusey invented the matchbook, however, he placed the striking surface on the inside of the book so that all 50 matches would ignite at once. The Diamond Match Company later purchased Puseys patent and moved the striking surface to the exterior of the packaging. 1910 [Diamond Match Company] With a worldwide push to ban the use of white phosphorus matches, the Diamond Match Company got a patent for a non-poisonous match which used sesquisulfide of phophorus. U.S. President Taft requested that Diamond Match give up their patent. 1911 [Diamond Match Company] Diamond yielded their patent on January 28, 1911. Congress passed a law placing a prohibitively high tax on white phosphorus matches. Present Day Butane lighters have largely replaced matches in many part of the world, however matches are still made and used. The Diamond Match Company, for example, makes more than 12 billion matches a year. Approximately 500 billion matches are used annually in the United States. An alternative to chemical matches is fire steel. Fire steel uses a striker and magnesium metal to produce sparks which may be used to start a fire.

History of Matches - Inventors and Methods

History of Matches - Inventors and Methods If you need to start a fire do you rub sticks together or break out your handy flint? Probably not. Most people would use a lighter or a match to start a fire. Matches allow for a portable, easy-to-use source of fire. Many chemical reactions generate heat and fire, but matches are a fairly recent invention. Matches are also an invention you probably wouldnt choose to duplicate if civilization ended today or you were stranded on a desert island. The chemicals involved in modern matches are generally safe, but that wasnt always the case: 1669 [Hennig Brand or Brandt, also known as Dr. Teutonicus] Brand was an Hamburg alchemist who discovered phosphorus during his attempts to turn base metals into gold. He allowed a vat of urine to stand until it putrified. He boiled the resulting liquid down to a paste, which he heated to a high temperature, so that the vapors could be drawn into water and condensed into... gold. Brand didnt get gold, but he did obtain a waxy white substance that glowed in the dark. This was phosphorus, one of the first elements to be isolated other than those which exist free in nature. Evaporating urine produced ammonium sodium hydrogenphosphate (microcosmic salt), which yielded sodium phosphite upon heating. When heated with carbon (charcoal) this decomposed into white phosphorus and sodium pyrophosphate:(NH4)NaHPO4 - †º NaPO3 NH3 H2O8NaPO3 10C - †º 2Na4P2O7 10CO P4Although Brand tried to keep his process a secret, he sold his discovery to a German chemist, Krafft, who exhibited phosphorus throughout Europe. Word leaked out that the substanc e was made from urine, which was all Kunckel and Boyle needed to work out their own means of purifying phosphorus. 1678 [Johann Kunckel]Knuckel successfully made phosphorus from urine. 1680 [Robert Boyle] Sir Robert  Boyle coated a piece of paper with phosphorus, with a separate splinter of sulfur-coated wood. When the wood was drawn through the paper, it would burst into flame. Phosphorus was difficult to obtain at that time, so the invention was only a curiosity. Boyles method of isolating phosphorus was more efficient than Brands: 4NaPO3 2SiO2 10C - †º 2Na2SiO3 10CO P4 1826/1827 [John Walker, Samuel Jones] Walker serendipitously discovered a friction match made from antimony sulfide, potassium chlorate, gum, and starch, resulting from a dried blob on the end of a stick used to stir a chemical mixture. He didnt patent his discovery, though he did show it to people. Samuel Jones saw the demonstration and started to produce Lucifers, which were matches marketed to the Southern and Western U.S. states. Lucifers reportedly could ignite explosively, sometimes throwing sparks at a considerable distance. They were known to have a strong firework odor. 1830 [Charles Sauria] Sauria reformulated the match using white phosphorus, which eliminated the strong odor. However, the phosphorus was deadly. Many people developed a disorder known as phossy jaw. Children who sucked on matches developed skeletal deformities. Phosphorus factory workers got bones diseases. One pack of matches contained enough phosphorus to kill a person. 1892 [Joshua Pusey] Pusey invented the matchbook, however, he placed the striking surface on the inside of the book so that all 50 matches would ignite at once. The Diamond Match Company later purchased Puseys patent and moved the striking surface to the exterior of the packaging. 1910 [Diamond Match Company] With a worldwide push to ban the use of white phosphorus matches, the Diamond Match Company got a patent for a non-poisonous match which used sesquisulfide of phophorus. U.S. President Taft requested that Diamond Match give up their patent. 1911 [Diamond Match Company] Diamond yielded their patent on January 28, 1911. Congress passed a law placing a prohibitively high tax on white phosphorus matches. Present Day Butane lighters have largely replaced matches in many part of the world, however matches are still made and used. The Diamond Match Company, for example, makes more than 12 billion matches a year. Approximately 500 billion matches are used annually in the United States. An alternative to chemical matches is fire steel. Fire steel uses a striker and magnesium metal to produce sparks which may be used to start a fire.