Store Choice and Shopping Behavior: How Price Format Works Harvard Case Solution & Analysis

This article is an accepted part of commercial utility to analyze the impact of retail prices for store format choice. Retail price format, in turn, has three key performance indicators: the number of customers, number of trips, and the average cost per trip. When you select a store, consumers evaluate both fixed and variable utilities shopping. Fixed utility is different from going on a trip while the variable utility depends on the size and composition of the shopping list. Summarizes the preliminary conclusions on the selection of shops, examines how retailers can improve their performance, and interprets the experience of leading retailers. Presents a framework that can accommodate situations where retailers face numerous segments customers with different sensitivity to the fixed and variable utilities. "Hide
by Christopher S. Tang, David R. Bell, Teck-Hua Ho Source: California Management Review 20 pages. Publication Date: January 1, 2001. Prod. #: CMR192-PDF-ENG

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