Sinith Buiders buds 1,500-square-foot starter tract homes in the fust growing suburbs of Affanti. Land and labor are cheap; and corrpetition among developers ls flerce. The hold Similar homns-offered by compethrg bullderi sat for 5706000 esith Aesme homes-are a standard model, with any upgrades added by the buyer aller the sale. Smith the company has no lixed corth. Bulders' cosis per developed sublot are as follownt (Click the icon to view the costs.) Read the roguiremonts Requiremen 1. Which approach lo pricing should Smith BudJers emphasize? Why? Smuth Buiiders will need to emphasize a apptoach to pricing because thicy ate This mears Sitith wil controd ever pricing becaise the tract homes are Requirements 1. Which approach to pricing should Smith Builders emphasize? Why? 2. Will Smith Builders be able to achieve its target profit levels? 3. Bathrooms and kitchens are typically the most important selling features of a home. Smith Builders could differentiate the homes by upgrading the bathrooms and kitchens. The upgrades would cost $28,000 per home but would enable Smith Builders to increase the sales prices by $49,000 per home. (Kitchen and bathroom upgrades typically add about 175% of their cost to the value of any home.) If Smith Builders makes the upgrades, what will the new cost-plus price per home be? Should the company differentiate its product in this manner? Data table Requirement 1. Which approsich lo pricing stould Sinith Bullors emphashze? Why? Simith Buildors will need to emphasize a the tract homes ase Buldem' costs per doveloped sukhot are as foll ows. (Clitk the icon to view the costs] Read the meqkinmests Requirement 1. Which approach to pricing should Smilh Builders emphasize? Why? Smith Bcrilders will need to empharkese a the trad homen are stift competition prosch to pricing should Smith Buldders emphasize? Why? emphaskeo a approach to pricing because they are stiff competition. tion 2 Requirement 1. Which approach to pricing should Smith Builders emphasize? Why? Smith Builders will need to emphasize a approach to pricing because they are the tract homes are stiff competition. stion4 stion 5 istion 6 Sinith Buiders buds 1,500-square-foot starter tract homes in the fust growing suburbs of Affanti. Land and labor are cheap; and corrpetition among developers ls flerce. The hold Similar homns-offered by compethrg bullderi sat for 5706000 esith Aesme homes-are a standard model, with any upgrades added by the buyer aller the sale. Smith the company has no lixed corth. Bulders' cosis per developed sublot are as follownt (Click the icon to view the costs.) Read the roguiremonts Requiremen 1. Which approach lo pricing should Smith BudJers emphasize? Why? Smuth Buiiders will need to emphasize a apptoach to pricing because thicy ate This mears Sitith wil controd ever pricing becaise the tract homes are Requirements 1. Which approach to pricing should Smith Builders emphasize? Why? 2. Will Smith Builders be able to achieve its target profit levels? 3. Bathrooms and kitchens are typically the most important selling features of a home. Smith Builders could differentiate the homes by upgrading the bathrooms and kitchens. The upgrades would cost $28,000 per home but would enable Smith Builders to increase the sales prices by $49,000 per home. (Kitchen and bathroom upgrades typically add about 175% of their cost to the value of any home.) If Smith Builders makes the upgrades, what will the new cost-plus price per home be? Should the company differentiate its product in this manner? Data table Requirement 1. Which approsich lo pricing stould Sinith Bullors emphashze? Why? Simith Buildors will need to emphasize a the tract homes ase Buldem' costs per doveloped sukhot are as foll ows. (Clitk the icon to view the costs] Read the meqkinmests Requirement 1. Which approach to pricing should Smilh Builders emphasize? Why? Smith Bcrilders will need to empharkese a the trad homen are stift competition prosch to pricing should Smith Buldders emphasize? Why? emphaskeo a approach to pricing because they are stiff competition. tion 2 Requirement 1. Which approach to pricing should Smith Builders emphasize? Why? Smith Builders will need to emphasize a approach to pricing because they are the tract homes are stiff competition. stion4 stion 5 istion 6
