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Suppose Mattel, the producer of Barbie dolls and accessories ( sold separately ) , has two types of consumers who purchase its dolls: low -
Suppose Mattel, the producer of Barbie dolls and accessories sold separately has two types of consumers who purchase its dolls: lowvalue consumers and highvalue consumers. Each of the lowvalue consumers tends to purchase one doll and one accessory, with a total willingness to pay of $ Each of the highvalue consumers buys one doll and two accessories and is willing to pay $ in total.
Mattel is currently considering two pricing strategies:
Strategy : Sell each doll for $ and each accessory for $
Strategy : Sell each doll for $ and each accessory for $
In the following table, indicate the revenue for a lowvalue and a highvalue customer under strategy and strategy Then, assuming each strategy is applied to one lowvalue and one highvalue customer, indicate the total revenue for each strategy.
Revenue from LowValue Customers
Revenue from HighValue Customers
Total Revenue from Strategy
$ Value, Accessory
$ Value, Accessories
$
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