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Health care: Wesley Emergency Care provides emergency health care for people that need urgent help. Prices are quite expensive because the need is high for these services. This is inelastic pricing. Wesley promotes itself via billboards and a direct mail in the form of a health care newsletter. Wesley Emergency Care is conveniently located at a cross section of the town, and patients must come to the hospital, although an emergency ambulance service is available for patients that need emergency transportation.
Food and beverages: Marie Callender’s provides frozen meals that taste like home-cooked food. Prices are a bit more expensive than other brands because the food is tastier than Stouffers or other mainstream brands. While the pricing is fairly elastic, this brand positions itself as a premium product, so it sets its prices higher. Marie Callender’s uses television advertising for their promotion because visibility is as important as the message. The distribution channel is long, starting from the manufacturer to a distributor to a cold-storage warehouse and finally to the retailer.
Consumer goods: Bic pens are good-quality pens at inexpensive prices. Promotion is minimal as the brand name is so renowned, although they do use some television advertising. The distribution channel is typical for a consumer good, from manufacturer to distributor to warehouse to retailer.
Travel: Southwest Airlines. Southwest provides no-frills passenger air travel to and from major cities. Prices are highly elastic for airline tickets. Southwest keeps its prices as low as possible and does not charge for baggage. It uses television advertising and magazine ads for promotion. It is different from other airlines in that it does not use a distribution venue through online price comparison or online travel booking websites as this would raise the price of the fare. Instead, consumers have to check Southwest’s prices on their own.
Electronics: iPhone. The iPhone, from Apple, is a premium-priced smartphone. The iPhone positions itself as a superior brand. Therefore, sometimes, it limits its supply when a new version is introduced. As a result, the prices of the phone increase since the consumers see the product as something special. Promotion is based heavily on television advertising. The distribution channel is shorter than most channels as Apple prefers to design and build its operating system in-house and use dedicated software and drivers. Retail outlets consist of Apple stores, licensed electronics stores, and Apple’s website.
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