There appears a battle between the food chain stores like Restaurants W, MC, BK and other competitors are enormously trying to trap their consumers with low price tempting meals. Though this technique is not new it is more popular than ever before. This method helped other restaurants like Restaurant OG. Characters in the case: Restaurant W, MC, BK Restaurant OG Introduction: The method that is adopted by the firm to fix the selling price is known as pricing . The pricing generally depends on the average cost and the perceived value of the product. To determine: The reason why the restaurant chain employs a discount menu for the option pricing.

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Chapter 10, Problem 10.16VC

Summary Introduction

Case summary:

There appears a battle between the food chain stores like Restaurants W, MC, BK and other competitors are enormously trying to trap their consumers with low price tempting meals. Though this technique is not new it is more popular than ever before. This method helped other restaurants like Restaurant OG.

Characters in the case:

Restaurant W, MC, BK

Restaurant OG

Introduction:

The method that is adopted by the firm to fix the selling price is known as pricing. The pricing generally depends on the average cost and the perceived value of the product.

To determine: The reason why the restaurant chain employs a discount menu for the option pricing.

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