Business: pricing

R. told me that the her boss still sets price in an arbitrary manner. This is a bit surprising, because systematic pricing methods are the norms in many industries, such as airline, hotel, car rental.

My guess is that these are all big companies. They can afford PHDs. For small firms, they may not be willing to hire PHDs. But pricing is in undergraduate or MBA curriculum. That is where the gaps lies.

I should find collaborations.


The funniest thing I’ve read so far in 2008

Regarding the new estimation of the schedule after multiple delays that Boeing 787 has suffered, the executive who charges the program said that, the latest assessment is more accurate than past guidance, because the October outlook was “based more on analysis,” and this projection reflects more experience and a better understanding of the work involved.

I keep wondering, what else could you base your assessment on?