I have an assignment in ECO 550 CAN SOMEONE HELP

Running Head: Operation Decisions
1
Student’s name
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Operation Decision 2

Introduction
Low calorie frozen microwavable food company needs to revise its pricing strategies in
view of changes in the external policy matters such as government policies and the competitor’s
policies of setting up quantity and prices in the market. These frequent changes in the pricing
strategies of the company could affect the sales volume of the products due to its higher price
elasticity of demand. The response of changes in demand could have negative impact over the
profits of the company in the long run. It is necessary to anticipate these changes in prices
through proper planning and taking appropriate actions for its implementation so that there will
e minimum price elasticity of demand for these food items. Moreover, policies of government
in relation to employment and production capability of the company would also be considered in
formulations of the plans to anticipate the changes. Complexities in capital projects while
expansion within domestic boundaries as well as outside the country might arise new issues
which need to be managed by the owners of the company. Also, there might be arise in issues
due to clashes in the interests of the stakeholders as well as the managers which should be
esolved in such a way that it does not have any impact over the goodwill of the company. In the
paper, all these plans and policies will be discussed in detail along with solutions for planning
out the things in more organized manner.
Planning for pricing strategies
There are many competitors in the low calorie frozen microwavable food markets such as
Healthy Choice and Lean Cuisine which make its price elasticity of demand to be very high and
therefore, management would look for such policies and steps which could the competition level
so that a slight rise in price level would have very little impact over the demand of these type of
Operation Decision 3

foods. One of the major innovative plans is to assess the market conditions and demand of the
products and categorize the consumers on the basis of their demographics. It will help in setting
the prices of these products according to the willingness to pay the prices by the customers for
their prefe
ed items. The trend in market demand and supply conditions would set up the criteria
of prices as these two market forces would
ing in the market equili
ium along with
consideration of external government policies of employment, production, and environmental
conditions. Capturing people in the market who are more health oriented would
ing in the
stability in the supply potential of the company. In order to keep the price elasticity of demand
for low calorie frozen microwavable food products, the company should attract more customers
through differential pricing schemes such as introducing discounts for the products so that more
consumers will buy the product. Also, it is possible to keep the prices initially at lower level
which would increase the market share of the company as people belonging to middle income
groups will shift their demand easily to such products as they look for better prices. Another step
which might be successful for managing the prices of the products is to provide corporate
discounts like Sodexho, and higher percentage sale discounts as these working people especially
women look for maintaining the balance between their health and time management as they have
less time to cook healthy and low calorie food for themselves. Hence, more investment will be
needed for advertisements of products to present its uniqueness in the form of combining the
nutrition and convenience along with fewer...