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BB software markets two software-applications (X and Y) for businesses, developer, and individual consumers. Consumers directly download the products from the web so there is
BB software markets two software-applications (X and Y) for businesses, developer, and individual consumers. Consumers directly download the products from the web so there is no variable cost associated with the production of new copies. Each customer needs only one copy of each product. BB knows that there are four segments in the marketplace. The size of the four segments and their reservation prices for the two products are as follows:| Segment Reservation Price (X) Reservation Price (Y) Size 2 8 2 5 6 3 2 4 4 3 6 4 Suppose that BB started advertising product Y to the various segments which changed their perception of it. As a result the reservation prices for the four segments for Y became the following. The reservation prices for X remained the same Reservation Price (X) Reservation Price (Y) Size Segment 7 8 2 1 5 6 3 2 4 4 4 3 3 1 6 4 optimal price for Y and the optimal price for a pure X+Y bundle? What would be the new Does bundling make sense in this case as well? BB software markets two software-applications (X and Y) for businesses, developer, and individual consumers. Consumers directly download the products from the web so there is no variable cost associated with the production of new copies. Each customer needs only one copy of each product. BB knows that there are four segments in the marketplace. The size of the four segments and their reservation prices for the two products are as follows:| Segment Reservation Price (X) Reservation Price (Y) Size 2 8 2 5 6 3 2 4 4 3 6 4 Suppose that BB started advertising product Y to the various segments which changed their perception of it. As a result the reservation prices for the four segments for Y became the following. The reservation prices for X remained the same Reservation Price (X) Reservation Price (Y) Size Segment 7 8 2 1 5 6 3 2 4 4 4 3 3 1 6 4 optimal price for Y and the optimal price for a pure X+Y bundle? What would be the new Does bundling make sense in this case as well
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