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Intopia Paper Q3

1222 words - 5 pages

World: 2003 Editor: Hans B. Thorelli Q1
Australian Editor: Douglas Dow



In Q1 only, ready-made chip plants are available in industrial parks. This offer only applies in the EU and US. The plants will be able to produce in Q1. However, accelerated training of the local personnel requires a temporary expense of $500K in the US and €360K in EU. There is room for only one plant per Co. and area.

Companies interested in this one-time opportunity should complete the orange W2 form and submit it to the Facilitator. Participating firms also need send a service payment ...view middle of the document...

Qualifying companies can purchase bulk quantities of X0 chips or Y0 PCs directly from NEC. The offer is restricted to one order of each product per company in each of the three areas. No cost-incurring split deliveries, please! Units are expressed in '000s. Prices are stated in local currency per unit, payable in local A/P routine. Note them hefty discounts, folks!


USA EU/EC Brazil
CHIPS 15 20 15 18 6 210
PC 30 88 30 70 15 1050


USA EU/EC Brazil
PC 15 110 15 98 8 1500

All companies have the right to take up this offer, but they must meet the special conditions. Firms may only purchase chips from NEC in a given area if they have also initiated construction of a PC plant in that area. Similarly, firms may only purchase PCs from NEC in a given area if they have opened, or are in the process of opening, at least one sales office in that region.

Companies who register to be independent wholesalers in any (or all) areas by Q1 may buy up to twice the number of PCs indicated in the table for those areas. Other terms remain the same. Note: To be a wholesaler you must submit the appropriate IWS form to the administrator and open 3 sales offices in that area.

This offer allows CIA members to get off to a flying start. In addition, it provides them with an opportunity to test the market potential and demand elasticity (the latter if you are prudent enough to order Market Research Item 2). Companies interested in this one-time opportunity should complete a yellow H6 form and submit it to the Facilitator.

Remember that all sales in the first Quarter will be via agents as the sales offices take one quarter to open. You may also have some introductory problems as a newcomer to the market. On the other hand, if you set your price too low, you will sell out --- and miss out on a point of the demand curve. Also, stockouts bring goodwill loss in the following Q (GUIDE, p. 39, 62).

Over-the-Counter Test Marketing

During any INTOPIA decision session you can get immediate delivery of Marketing Research items 31-69. Because of the cost of sending out the necessary extra research teams, computer operator overtime, etc., the prices for this special service are double the standard rates.

Note that DE BIG has on hand enough prototype dummies on X1-X9...

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