A local pet store, Rascals, which has concentrated on selling puppies, is considering adding a line of pet food. A contractor estimates that it will cost $100,000 to convert some storage space into a retail area for the food. Rascal's will purchase the specialty food for $15 and sell it for $30. Marketing research indicates that the store will sell 900 bags. Should rascals add pet food to its products?;QUESTION: Assume that Rascals decided to add the pet food line. Two months after it began selling the food, its pet food sales declined dramatically because a competitor across the street started selling the identical food for $22 per bag. Should Rascals match the price offered by the competitor?
Paper#30674 | Written in 18-Jul-2015Price : $22