Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Bennett Builders builds 1,500-square-foot starter tract homes in the fast-growing suburbs of Boise, Land and labor are cheap, and. competition among developers is fierce. The
Bennett Builders builds 1,500-square-foot starter tract homes in the fast-growing suburbs of Boise, 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. Bennett Builders' cost per developed sublot are as follows: Click the icon to view the costs.) Bennett Builders would like to earn a profit of 16% of the variable cost of each home sale. Similar homes offered by competing builders sell for $204,000 each. Read the requirements Requirement 1. Which approach to pricing should Bennett Builders emphasize? Why? Bennett will need to emphasize a approach to pricing. Because the tract homes are Bennett will control over pricing stiff competition Data table Land $ 57,000 . Construction..... $ 122,000 Landscaping $ 7,000 Variable marketing costs ..... $ 4,000 Print Done
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started