Another potential risk is that one of your

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Another potential risk is that one of your competitors may make a lower bid, but this is negated by your current business relationship with Konig based on providing; the best all round computer in terms of precision, dependability, flexibility, and ease of use. Your history of proving high quality products to Konig is in your favor. Overall, Computron Inc. is positioned to win the Konig & Cie., AG bid based on price, quality and brand equity, which increases its chance of success, as against its main competitors. Respectfully, Management Consultant
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Table A. Breakdown of Special Purpose Computer Costs for Konig bid with no mark-up. Factory cost $ 768,000.00 Markup on cost (0%) $. 0.00 Gross Price $ 768,000.00 Import duty (15% of Gross Price). $ 115,200.00 Transportation and installation. $ 67,200.00 Total bid price. $ 950,400.00 Table B. Breakdown of Special Purpose Computer Costs for Konig bid at 20% higher than possible lowest bid of $872,000 by Ruhr. Factory cost $ 768,000.00 Markup on cost (8.375%) $ 64,320.00 Gross Price $ 832,320.00 Import duty (15% of Gross Price). $ 124,848.00 Transportation and installation. $ 67,200.00 Total bid price. $ 1,046,400.00
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  • Fall '12
  • Buss
  • Pricing, Konig, Computron Inc.

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