Question
Kroger is trying to determine which types of Vanilla Wafer cookies to stock. The wholesale cost Kroger is charged for a box of each type
Kroger is trying to determine which types of Vanilla Wafer cookies to stock. The wholesale cost Kroger is charged for a box of each type of cookie is shown in the following table:
National1 | National2 | Generic | Copycat |
$1.5 | $2.00 | $0.90 | $1.25 |
The wholesale price of a book of cookies is assumed equal to the product's quality. Each customer assigns a different value to quality, as shown in the file Q1.xlsx and snapshot depicted in right hand side. For example, customer 7 would value National1 at 1.02*(1.5), and so on. Your task is to determine how to price each type of cookie and then to recommend which brands Kroger should stock to maximize profit from cookies
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