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Compose a 1250 words essay on PDA Sim. Needs to be plagiarism free!The X6 is the high end product in its second year of production. This consumer segment shops for performance and increasing the R&
Compose a 1250 words essay on PDA Sim. Needs to be plagiarism free!
The X6 is the high end product in its second year of production. This consumer segment shops for performance and increasing the R&.D expense should be able to be offset by an associated increase in price. The goal will be to raise the market share to 30%, which will require sales of approximately 1 million units.
The X7 is a new entrant that is a combination of attractive price and performance. Currently it is priced at $200 and is the lowest cost PDA in the lineup. Increasing the sales on the X7 should result in lowering the marginal cost and increasing the profit. Last year it lost money due to low sales. According to Pete Cunningham, senior analyst at Canalys, "With the rapid increase in demand for new features and services, smartphones are migrating into the higher volume, mid-range market segments" (qtd. in "Symbian Fast Facts Q4 2007"). It will be assumed that the smartphone and the PDA has similar market dynamics. The strategy question becomes, can we increase price and market share As a compromise, the price will be increased moderately and R&.D spending increased significantly.
The outcome for run number 1 was $965,929,406. One of the problems with the strategy was that after lowering the price to $200, it hit saturation the next year.
