MBA540 Managerial Economics
Ch. 9, 10, 11, or 12 Case Assignment
1. Provide an argument for why a more variable pricing policy might increase the sales from Apple’s Music Store?
2. Apple moved from one to three price point s in 2009? What type of songs do you think apple tends to sell at the lower prices?
3. Other potential pricing policies that might increase the revenue from the Music Store sales.
4. The risks and potential costs of implementing more sophisticated pricing schemes for the downloaded music?
5. Is Apple’s pricing objective to maximize the revenue it receives from the sales of downloaded music? Is this the objective of the major record companies? Explain.
6. Do you think that Apples ability to control the pricing of downloaded music is likely to change in the future? Explain.