Case study: Optical Distortion, Inc. (A) – a classic case in the teaching of pricing in MBA schools
Some of you might think that this is not a real product. Although the names have been disguised, this is a real company and a real product. It might be easier for you to focus initially on the California market and then look at the others. One of the things that you will encounter here is the vagueness of the case on fixed costs that ODI will encounter in developing a marketing program.
• What characteristics of the ODI lens are likely to make it appealing or unappealing to different types of chicken farmers.
• Different bases for segmentation and what segments to focus on.
• What pricing policy should ODI adopt? What marketing efforts? What can be the possible objectives of the marketing campaign (e.g., trial, repurchase etc.)?