Best Case Solution: Nuway Software

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Description

Nuway Software
Case Study Analysis Solutions
This Case is about BUDGETING, BUSINESS PROCESSES, PRICING, TECHNOLOGY
PUBLICATION DATE: April 15, 2009 PRODUCT #: 909E05-HCB-ENG
The creator and president of Nuway Software (Nuway) must conclude the pricing strategy for their innovative internally-developed cellular software product, Nulogic. This case develops custom cellular software applications that provide each of their customers with excellent competitive advantage are not dissimilar. Nuway is prepared to promote Nulogic as a standalone product and has identified three unique customer segments: Corporate inhouse programmers, competitions and independent software developers. The firm has followed a cost-plus pricing model and has kept positive profit margins. The president doesn’t favor value-based pricing and views it as price gouging; yet, he’s not unaware that cost-plus pricing has limits with regards to cost precision. By contemplating the abilities of Nuway, the whole software business and his own tastes, the president must determine the best way to price the new applications.

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