oped a new industrial component called IC 75. The company is excited about IC-75 because it offers superior performance relative to the comparable component sold by $1.200 and needs McDermott's primary competitor. The competing part sells for to be replaced after 2,000 hours of use. It also requires $200 of preventive maintenance during its useful life. 5's performance capabilities are similar to its competing product with two important exceptions-it needs to be replaced after 4.000 hours of use and it requires $300 of preventive maintenance during its useful ife. Required: From a value-based pricing standpoint: 1 What is the reference value that McDermott should consider when pricing iC-75 4. What range of possible prices should McDermott consider when settiog a price for IC-75 2. What is the dilfferentiation value offered by IC-75 relative the competitor's offering for each 4,000 hours of usage? 3. What is IC-75's economic value to the customer over its 4.000 hour life? 1 Reterence value S 30 Economic value to the customer Range of possible prices 2400 I Valie based pre-li E 2,500 pnce | G s 2