1. Which approach to pricing should Rouse Builders emphasize? Why? 2. Will Rouse Builders be able to achieve its target profit levels? Show your computations 3. Bathrooms and kitchens are typically the most important selling features of a home. Rouse Builders could differentiate the homes by upgrading bathrooms and kitchens. The upgrades would cost $26,000 per home but would enable the company to increase the selling prices by $45,500 per home in general, kitchen and bathroom upgrades typically add at least 150% of their cost to the value of any home.) If Rouse Builders upgrades, what will the new cost-plus price per home be? Should the company differentiate its product in this manner? Show your analysis bor are cheap, and competition | each home sale. Similar homes of Data Table - X Land 52,000 Construction 123.000 Landscaping 7,000 C Variable marketing costs. ......$ U2 5.000 Print Done Rouse Builders builds 1,500-square-foot starter tract homes in the fast-growing suburbs of Tulsa. Land and labor are cheap, and competition among developers is fierce. The homes are "cookie-cutter" with any upgrades added by the buyer after the sale. Rouse Builders' cost per developed sublot are as follows: Click the icon to view the costs.) Rouse Builders would like to earn a profit of 15% of the variable cost of each home sale. Similar homes offered by competing builders sell for $207,000 each Read the requirements Requirement 1. Which approach to pricing should Rouse Builders emphasize? Why? approach to pricing. Because the tract homes are stiff competition, Rouse Rouse will need to emphasize a control over pricing Rouse Builders builds 1,500-square-foot starter tract homes in the fast-growing suburbs of Tulsa Land and laborare cheap, and competition among developers is fierce. The homes are cookie-cutter, with any upgrad05 added by the buyer met the sale. Rouse Builders' cost per developed sublot are as follows: (Click the icon to view the costs.) Rouse Builders would like to earn a profit of 15% of the variable cost of each home sale. Similar homes offered by competing builders sell for $207,000 each Read the requirements Requirement 1. Which approach to pricing should Rouse Builders emphasize? Why? Rouse will need to emphasize a approach to pricing. Because the tract homes are control over pricing stiff competition, Rouse will 1. Which approach to pricing should Rouse Builders emphasize? Why? 2. Will Rouse Builders be able to achieve its target profit levels? Show your computations. 3. Bathrooms and kitchens are typically the most important selling features of a home, Rouse Builders could differentiate the homes by upgrading bathrooms and kitchens. The upgrades would cost $26,000 per home but would enable the company to increase the selling prices by $45,500 per home in general, kitchen and bathroom upgrades typically add at least 150% of their cost to the value of any home.) If Rouse Builders upgrades, what will the new cost-plus price per home be? Should the company differentiate its product in this manner? Show your analysis. Print Done Land Construction. $ Landscaping..... 52,000 123,000 7,000 5,000 Variable marketing costs CH 1. Which approach to pricing should Rouse Builders emphasize? Why? 2. Will Rouse Builders be able to achieve its target profit levels? Show your computations 3. Bathrooms and kitchens are typically the most important selling features of a home. Rouse Builders could differentiate the homes by upgrading bathrooms and kitchens. The upgrades would cost $26,000 per home but would enable the company to increase the selling prices by $45,500 per home in general, kitchen and bathroom upgrades typically add at least 150% of their cost to the value of any home.) If Rouse Builders upgrades, what will the new cost-plus price per home be? Should the company differentiate its product in this manner? Show your analysis bor are cheap, and competition | each home sale. Similar homes of Data Table - X Land 52,000 Construction 123.000 Landscaping 7,000 C Variable marketing costs. ......$ U2 5.000 Print Done Rouse Builders builds 1,500-square-foot starter tract homes in the fast-growing suburbs of Tulsa. Land and labor are cheap, and competition among developers is fierce. The homes are "cookie-cutter" with any upgrades added by the buyer after the sale. Rouse Builders' cost per developed sublot are as follows: Click the icon to view the costs.) Rouse Builders would like to earn a profit of 15% of the variable cost of each home sale. Similar homes offered by competing builders sell for $207,000 each Read the requirements Requirement 1. Which approach to pricing should Rouse Builders emphasize? Why? approach to pricing. Because the tract homes are stiff competition, Rouse Rouse will need to emphasize a control over pricing Rouse Builders builds 1,500-square-foot starter tract homes in the fast-growing suburbs of Tulsa Land and laborare cheap, and competition among developers is fierce. The homes are cookie-cutter, with any upgrad05 added by the buyer met the sale. Rouse Builders' cost per developed sublot are as follows: (Click the icon to view the costs.) Rouse Builders would like to earn a profit of 15% of the variable cost of each home sale. Similar homes offered by competing builders sell for $207,000 each Read the requirements Requirement 1. Which approach to pricing should Rouse Builders emphasize? Why? Rouse will need to emphasize a approach to pricing. Because the tract homes are control over pricing stiff competition, Rouse will 1. Which approach to pricing should Rouse Builders emphasize? Why? 2. Will Rouse Builders be able to achieve its target profit levels? Show your computations. 3. Bathrooms and kitchens are typically the most important selling features of a home, Rouse Builders could differentiate the homes by upgrading bathrooms and kitchens. The upgrades would cost $26,000 per home but would enable the company to increase the selling prices by $45,500 per home in general, kitchen and bathroom upgrades typically add at least 150% of their cost to the value of any home.) If Rouse Builders upgrades, what will the new cost-plus price per home be? Should the company differentiate its product in this manner? Show your analysis. Print Done Land Construction. $ Landscaping..... 52,000 123,000 7,000 5,000 Variable marketing costs CH
