Saturday, November 10, 2007

Pareto Optimal

Pareto optimal: no other allocation can make one better off without making the other worse off.
Given a set of alternative allocations of, say, goods or income for a set of individuals, a movement from one allocation to another that can make at least one individual better off without making any other individual worse off is called a Pareto improvement. An allocation is Pareto efficient or Pareto optimal when no further Pareto improvements can be made.

Coca-Cola's New Vending Machine (A): Pricing to Capture Value, or Not?

Chairman and CEO M. Douglas Ivester stumbles when he tells a Brazilian newsmagazine about a new Coke vending machine that can automatically raise prices in hot weather. Reaction around the world is swift and negative.


Variable-Price Coke Machine Being Tested
http://query.nytimes.com/gst/fullpage.html?res=9804E7D91038F93BA15753C1A96F958260&n=Top/News/Business/Companies/Coca-Cola%20Company

Is a Cold Soda Worth More on a Hot Day?
http://query.nytimes.com/gst/fullpage.html?res=9B01E0D9173BF932A05753C1A96F958260&n=Top/News/Business/Companies/Coca-Cola%20Company

Coke's New Pricing
http://query.nytimes.com/gst/fullpage.html?res=9E07E6D9143BF932A35752C1A96F958260&n=Top/News/Business/Companies/Coca-Cola%20Company

Tuesday, October 16, 2007

Sunday, September 30, 2007

Sunday, August 19, 2007

How to Brand Private Labels

Price it right: If the price is too low, consumers suspect that corners have been cut. Generally, thesweet spot of pricing is 10% to 20% below national brands

Pay attention to packaging: Make packagingmore distinctive than national brands to set the product apart on the retail shelf.

http://fusionbrand.blogs.com/fusionbrand/2004/05/how_to_brand_pr.html

Thursday, July 19, 2007

Saturday, July 14, 2007

Turning Great Strategy into Great Performance

7 basic rules for setting and delivering strategy:
Keep it simple, make it concrete.
Avoid long, drawn-out descriptions of lofty goals and instead stick to clear language describing what your company will and won’t do.
Debate assumptions, not forecasts.
Create cross-functional teams drawn from strategy, marketing, and finance to ensure the assumptions underlying your long-term plans reflect both the real economics of your company’s markets and its actual performance relative to competitors.
Use a rigorous analytic framework.
Ensure that the dialogue between the corporate center and the business units about market trends and assumptions is conducted within a rigorous framework, such as that of “profit pools.”
Discuss resource deployments early.
Create more realistic forecasts and more executable plans by discussing up front the level and timing of critical deployments.
Clearly identify priorities.
Prioritize tactics so that employees have a clear sense of where to direct their efforts.
Continuously monitor performance.
Track resource deployment and results against plan, using continuous feedback to reset assumptions and reallocate resources.
Reward and develop execution capabilities.
Motivate and develop staff.
Following these rules strictly can help narrow the strategy-to-performance gap.
Turning-Great-Strategy.pdf