Case 11.3 - 1. 2. 3. 4. Case 11.3 Dumping Inventory: Should...

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Case 11.3 Dumping Inventory: Should This Be Part of Your Presentation? 1. As a sales person, I think Ron is smart by running a special sale for 20 percent off the regular price of Laserton I. This should increase his business, and in the long run make him some money. But, I think he is morally wrong for doing this. There are going to be so many upset customers when the new Lasertron II comes out. Customers are going to get upset because they already bought Lasertron I, and it’s not compatible with Lasertron II, which means they will need to buy new game cartridges. Unfortuantly, Ron can’t give his customers a heads up about this new game coming out. But, what he can do is after the Lasertron’s II introduction, he can send his present models to the retailer, and get refunded the original cost of Lasertron I. I like this approach much better, it would be more ethical if he would just wait until Lasertron II came out, and sent his old one’s back to the retailer. I also think customer’s would appreciate this, rather then buying two
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This note was uploaded on 11/02/2011 for the course ECONOMY G123/EC100 taught by Professor Melissa during the Spring '10 term at Rasmussen College.

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