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[CO] Chapter 7 – Tactics :pen:Members: Sunny/Cindy/MJ/Phoebe/Ian (3.…

- - - - Nintendo Entertainment System --- Game cartridges
      - Microsoft Windows 95--- More equipments
      - Hotels--- Package pricing type
    - - Willingness of bargaining yet there is a hidden low price for low quality
      - Microsoft PowerPoint Presentation Software Vs. Harvard Graphics
    - - Phone Companies (Call Rates)
        
        Japan---Dai Ni Den Den Inc ., (DDI) Vs Nippon Telegraph and Telephone (NTT)
        
        DDI--- "chip phones"- decrease customer's confusion about fog & increase value
        
        a number of costs
        
        customers get confused & frustrated --- fog---damage the production perception (airline pricing)
    - - Value Pricing
        
        American Airlines
        Simplified fare structure ( first class, regular coach & two discount fares)
        Healthy Imitation
        more transparent--- price cuts & incentive reduced.
        more stable prices
        On Sep, 1992 --- they gave up the Value Pricing model and returned to former one
        
        Failure :red_cross: ---lose- lose mindset ( $ 5 billion of U.S airlines)
  - - - Many games are ultimately decided in the court of public opinion
      - Change the game: Changing perceptions of people
      - Game is constructed by the collective perception of people
    - - Professor
        
        Intel
        
        IBM
        
        Claiming "It was more severe than Intel quoted"
        
        Stop offering Pentium-powered machine
        
        Hoped consumers move to buy their 486 computer
        
        Intel
        
        Offering new return policy
        
        Consumer back to Pentium computer
        
        The tarnished reputation of competitors is not bad to IBM
        
        Claiming "It has no infect to the daily usage"
        
        Offer replace chips on case-by-case basis
        
        Found the flaw of Intel Pentium chip
      - IBM got nothing, but destroy the relationship with Intel
    - - Broadcasters
        
        Fail to explain the benefits to consumers
        
        Public think Broadcasters are greedy
        
        Charge royalties
        
        Forced to give it up
        
        ABC, NBC, FOX still get some consolation prize
        
        CBS held out lasting, but get nothing
      - Cable Operators
        
        Claiming "They don't accept to charge more from consumers"
- - - - New York post :newspaper:
    - - Fashionable
      - Ability
    - - A feather in your cap :face_with_cowboy_hat:
        
        Educational qualifications
      - Investment banking job :bank:
        
        High base/low bonus
        
        Low base/high bonus
      - Publisher :books:
        
        Author's advance v.s. royalty rate
  - - - FedEx
        
        :money_with_wings:Guarantee to pay customers 200 dollars if they failed to deliver.
        
        The world on time
        
        Emphasize the superiority of its service
      - Pros
        
        Increase the quality of service
        
        Have the sense of crisis , fix the mistake
        
        Get the chance to apologize to the customers , give them compensation
    - - Build the confidence
- - - - Burying projects they've turned down
        
        Hollywood sold the movie - E.T.
      - Following the herd
      - creating reasons to fail
        
        Avoid the risk
  - - - :silhouettes:tend to get lost navigating through this fog
        
        mistakes: :red_cross:
        
        strengthen your hand by revealing something
        
        forcing a consensus when preserving differences of opinion
        
        overstate what you need, hang tough → kill the deal
    - - asking for a little gets you a little
      - holding out for a lot may get you nothing
    - - some thoughts are better left unspoken
        
        the threat of divorce