HINT: SUM THE MAXIMUM CONTRIBUTION FOR EACH FEATURE AND THE "OTHER UNIT COSTS" THE UNIT CONTRIBUTION FOR AN INDIVIDUAL FEATURE IS THE DIFFERENCE BETWEEN THE CONSUMERS VALUATION OF THE FEATURE AND THE MARGINAL COST OF THE FEATURE.

UNIT CONTIBUTION=(CUSTOMER VALUATION)- (MARGINAL COST)

Many products that marketers sell can be thought of as a bundle of features. The challenge for the marketer is to identify which particular combination of features is the most likely to maximize profits. One common way marketers try to solve this problem is through the use of conjoint analysis. Conjoint analysis comes in ma consumers desires for a particular product, and (b) how much value a consumer places on any one particular feature what is the optimal bundle of features a More Info Click the icon to view the additional information about the .Talgale Chillaxin' Cooler" and its possible Click the icon to view the product costs as well as the customer valuation. Assume a customer is willing to pay exactly how much they value their ideal cooler. Whatis the MAXIMUM price a The maximum price a customer would be willing to pay for their ideal version of the cooler is $74. (Round to the n In terms of how a customer values the cooler, what is the WORST possible combination? The worst possible combination is 24 can storage, 2-speaker, Individual Legs If we try to maximize the per unit contribution of cooler sales, what would that contribution value be? The maximum per unit contribution would be Cooler Feature Marginal Costs Feature Valuations from Customer Conjoint Analysis 24-can 36-can Storage Storage Storage Storage Cooler Size S6 S9 $24 2-speaker 4-speaker 2-speaker 4-speaker Speaker System (Round to the nearest dollar $14 $16 S10 S29 Individual Legs S6 Baseline Valuation S3 Individual EZ Fold EZ Fold Legs Folding Legs System $12 $18 Other Unit Costs S5