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Technology Stocks : Qualcomm Incorporated (QCOM)
QCOM 182.37+3.6%2:55 PM EST
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To: Maurice Winn who wrote (4799)10/17/1997 4:58:00 PM
From: Pierre   of 152472
 
Maurice:

When you first proposed you new pricing plan I dismissed it out of hand. You've mentioned it so often since then, I've been forced to consider it - against my better judgment. First, a straight "whatever the market will bear" price won't fly, in my opinion. When you see the pricing plans now in vogue, it's clear to me that a fixed rate is important to people. And they're willing to pay more up front to get a better rate. I think your idea runs directly counter to that consumer psychology.

That said, I agree it's important to generate revenue 24 hours a day. To some extent, the weekend vs business hours differential (as you have pointed out) is an attempt to do that. Therefore, if the software to change rates on the fly were available, a "not to exceed" pricing plan would accomplish the same thing, but perhaps more efficiently.

I guess what I'm saying is I now agree with you. The technological upgrade you propose could well improve the efficiency (dollar per minute) of the system. I'm not too enamored of your pricing plan,
but that's a detail best left to marketing. Your point in any event, I presume, was to give marketing a tool with which to increase efficiency. I agree. Let's get it done.

Pierre
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