NOTES
Chapter 1
Interview with Steve Heyer, Tuck School of Business, Hanover, NH, February 21, 2006.
Thanks to Alberto de Cardenas, Paul Kim, Joep Knija, Mark Potter, and Aaron Smith; as well as Sameer Nadkarni, Jim Sole, and Igor Popov for their analysis of Harley-Davidson as of 2002.
Price-benefit analysis involves graphing the position of all products in a marketplace using each product’s price against its primary benefit—the most important product benefit that drives pricing in the market. Then it includes using statistical analysis to identify the expected price line—the line that predicts the average price for a given level of the primary benefit. Products positioned above (or below) the line include price premiums (or discounts) ...
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