Someone else posted this in a separate thread - I am bumping it:
We continue to price ourselves out of the market. More and more, people can't afford the product. Half the employees I speak with wouldn't even be able to afford the products if it weren't for the discount.
People will pay high prices if the product is coveted, whether for the innovation, style, or scarcity. Unfortunately a lot of Nike's recent products have not been coveted.
Pricing is hard - there many schools of thought here. I thought Apple was too expensive and yet they continue to drive sales up - the math is way too compilcated. I am not disagreeing (or agreeing) with the original poster - I am just sharing what I learned about pricing over last 5 years.
50 views in 10 minutes - can someone explain this? How is this possible?
@uoc is correct - the pricing issue depresses sales - depressed sales lead to layoffs.
Pricing mistakes are a major driver for layoffs.
This is relevant indeed.
Not to be rude but if you can't see a correlation between Nike's performance, prices and layoffs maybe you are part of the problem?
I apologize for that being rude and hope it didn't come off as a personal attack but they are all interconnected.
I thought this site is about layoffs, not pricing strategy. How is this relevant?