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What is bundling?
Bundling is an offer one witness in the retail outlets where combinations of products are bundled together as one combined product. This is a common feature used in the product market which is generally imperfectly competitive. There are various types of industries which appreciate product bundling strategies in order to attract some consumers namely:
- Telecommunication
- Health care
- Financial services
- Information technology
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Most of the firms offer multi-products to their consumers. And sometimes they face troubles where they have to decide whether the products shall be available for consumers separately or combined which will require bundle price. Price bundling plays a vital role in major industries and therefore, build their own strategies on bundling that will allow the producer to sell the package to their consumers at a lower price as compared to the separate product.
Under this pricing strategy, consumers are allowed better discounts on bundles as compared to the products bought separately. If you are aiming to become a successful economists or even a finance manager in a retail outlet, these strategies will help you to great advantage. In order to learn the same in detail, our expert services on bundling homework help will assist you with deep calculation and business strategies and theories included in bundling.
Examples of bundling
When you enter in a hypermarket, you will find a lot of bundle products displayed on the discount section. For example, if you buy Samsung Galaxy phone, you get the smart watch for free. Such bundles are really attractive for consumers as they can avail better price on this bundle as compared to the price paying for each product separately.
The bundling strategy is not restricted to only tangible products, but with non tangible as well. One such example of the same is bundle price of MS office. When you purchase each MS product like Excel, word or anything else, it will cost you more than the bundle price. In fact, without bundling, consumers generally don’t buy Microsoft products.
One can notice bundling offers on food items as well, where the consumer is offered bundle products where they can buy an entire meal of the day combined with an attractive discount as compared to each food item you buy separately.
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