Task:
Each group is to research all of these pricing methods ensuring that you have correctly identified the meaning of these terms. Then, you are to find examples of these methods within the Australian market. You are to show graphic examples of advertising or other material (this may include photographs and ‘screen shots' of websites and/or advertising) to demonstrate each of these pricing mechanisms in practice.
Each group is to analyse how this type of pricing may affect consumers in the short-term and the long term. (For example, does the pricing of products you identify benefit consumers and market at all times or disadvantage in some instances but offer overall advantages in the long term?)
The GROUP report requirements
The GROUP should then merge their individual contributions into a group report and the GROUP should write an overall summary of each pricing approach.
COMPARE each pricing method and its effect on both consumers and the businesses offering the product or service.
In the case of DYNAMIC PRICING the group should suggest one NEW opportunity where the group believes using technology and the internet would allow dynamic pricing to bring additional benefits to both consumers and businesses in a way that currently does not exist. (Groups should at least search the internet to ensure it is an original idea!)
Discuss how and why you believe this would give additional utility to consumers and also bring more competition to the market.
The role of the management accountant should be briefly discussed and this will be based on the information presented in lectures and from the textbook. (See below for more guidance.)
In the summary and conclusion section of your report, discuss how effective you believe each of the pricing methodologies is and your overall findings in relation to both consumer benefit and business profitability.
How to layout your report
Executive summary - This is a ONE PAGE review of ALL of the report. This should be a stand-alone document which could be read by a CEO (for example) to find out what the report was about AND what was found in conclusion.
Introduction - This is an introduction TO THE REPORT NOT an introduction to the specific companies being studied. It introduces WHY the report exists, what it is examining (see the topic and tasks notes above for guidance) and how it is laid out.
Pricing method reviews - This includes your findings as to what each pricing method is and how it operates.
Examples of each pricing method - Including the individual examples researched and presented as outlined above.
The group effort bringing together the findings of each of the group members about each example of each pricing method and the discussion about how effective (or ineffective) the pricing method was in each case.
Role of the Management Accountant - Refer to subject material, slides and text to write a BRIEF (half page) review of the role of the management accountant in pricing decisions in organisations. Discuss and analyse what type of information management accountants would provide to management to support their pricing decisions.
The future of DYNAMIC PRICING should be discussed along with your proposal or suggestion for a new area in which dynamic pricing may benefit the consumer before your conclusions.
Note that both the section of the role of the management accountant and your suggestion for new products or services to be offered using dynamic pricing will be somewhat speculative however your arguments and or the discussion presented should strongly support your suggestions.
Conclusion - Here NO NEW IDEAS should be introduced. Only a conclusion of your findings and perhaps your group's summary of the strengths and weaknesses of each pricing method.
Bibliography - Full Harvard Anglia referencing should be undertaken for this report.
Research requirements:
The final report will now be due by Tuesday 26 January at 20:00 hours (8pm). There will be NO EXTENSIONS as this is a group report so individual health issues cannot be considered. Your group should consider time management part of the report-writing project.