Outotec was a marketplace leader in supplying mining solutions to large mining companies. The business specialization and proprietary technology created value for its customers and helped the business identify from its competitors.
Outotec (B) Action Plan Case Study Solution
Outotec was not pricing or marketing its alternatives in a way that took advantage of its own different capabilities and value-added. Outotec used a cost-established (inside/out) pricing policy, which was the business norm. As a result, operating profit was only 8% of income as well as the CEO had promised the investment community developments above 10%. The company and especially the just hired VP of Market Businesses want to move from a price-based (inside/out) to a value-based (outside/in) pricing and selling version to capture more lucrative sales and meet profitability targets the CEO declared to investors.
But there are several challenges to this, which the case study highlights for students to discuss and debate.
PUBLICATION DATE: October 11, 2013 PRODUCT #: 514065-PDF-ENG
This is just an excerpt. This case is about SALES & MARKETING
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