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BB-131 Orthogonal Competitive Loop v05

[Building Blocks] BB-131 Orthogonal Competitive Loop
Building Blocks (BB-131) - Orthogonal Competitive LoopTwo Competiitive Rivals are selling the orthogonal 'Sprockets' Product at the exactsame Price. Orthogonal Product are differentiated because the way Customersvalue the first Product is unrelated to how Customers value the second Product.The Customer Distributions are uncorrelated.This time, when the two Competitive Rivals start a Price War, the Price won't bedriven down to Marginal Cost but will plateau at profitable levels.See also: Building Blocks (BB-113) Commodity Competitive Loop Dynamic Price War reaches Price plateau:Spacely Sprockets Price: $150.00 --> $105.00 --> $99.50 --> $101.98Cogswell Cogs Price: $150.00 --> $105.00 --> $102.25 --> $102.25 Summary of Results:Each Competitor quickly iterates to their Profit Maximizing Price. Lowering Pricewould not increase their Profitability even if the other Competitor maintained theirexisting Price. The point of steady state competition is reached.The final data point shows the Actual Quantity, Revenue, and Profit.OptimizeSpacely SprocketsOrthogonalProductsOptimizeCogswell CogsGet Optimized PricesSpacely SprocketsGet Optimized PricesCogswell CogsRe-createMarketStart LoopPrice WarEnd LoopPrice WarProductCostPriceProductCostPriceGet LastPricesProductCostPriceBring LastIteration to TopFinal MarketConditionsRemoveIteration ColumnAdd FinalResultsRemoveNo SaleSpacely SprocketsResultsCogswell CogsResultsPrice TrendQuantity TrendExpected vs ActualRevenue TrendExpected vs ActualProfit TrendExpected vs ActualWillingnessTo Pay (WTP)of CustomersWTP DifferenceHistogramValue Difference betweenSpacely Sprockets andCogswell CogsValue DifferenceSpacely SprocketsCogswell CogsWTP HistogramSpacely Sprocketsvs Cogswell CogsWTP HistogramZero Correlation betweenOrthogonal Products Profit Engine Table Creator Profit Engine Row Filter Row Filter Concatenate RecursiveLoop Start Recursive Loop End Column Filter Column Filter Row Filter Column Filter Sorter Profit Engine Column Filter Concatenate Row Filter Row Filter Row Filter Line Chart(JFreeChart) Line Chart(JFreeChart) Line Chart(JFreeChart) Line Chart(JFreeChart) CustomerDistributions Histogram Chart(JFreeChart) Math Formula Histogram Chart(JFreeChart) Histogram Chart(JFreeChart) Linear Correlation Building Blocks (BB-131) - Orthogonal Competitive LoopTwo Competiitive Rivals are selling the orthogonal 'Sprockets' Product at the exactsame Price. Orthogonal Product are differentiated because the way Customersvalue the first Product is unrelated to how Customers value the second Product.The Customer Distributions are uncorrelated.This time, when the two Competitive Rivals start a Price War, the Price won't bedriven down to Marginal Cost but will plateau at profitable levels.See also: Building Blocks (BB-113) Commodity Competitive Loop Dynamic Price War reaches Price plateau:Spacely Sprockets Price: $150.00 --> $105.00 --> $99.50 --> $101.98Cogswell Cogs Price: $150.00 --> $105.00 --> $102.25 --> $102.25 Summary of Results:Each Competitor quickly iterates to their Profit Maximizing Price. Lowering Pricewould not increase their Profitability even if the other Competitor maintained theirexisting Price. The point of steady state competition is reached.The final data point shows the Actual Quantity, Revenue, and Profit.OptimizeSpacely SprocketsOrthogonalProductsOptimizeCogswell CogsGet Optimized PricesSpacely SprocketsGet Optimized PricesCogswell CogsRe-createMarketStart LoopPrice WarEnd LoopPrice WarProductCostPriceProductCostPriceGet LastPricesProductCostPriceBring LastIteration to TopFinal MarketConditionsRemoveIteration ColumnAdd FinalResultsRemoveNo SaleSpacely SprocketsResultsCogswell CogsResultsPrice TrendQuantity TrendExpected vs ActualRevenue TrendExpected vs ActualProfit TrendExpected vs ActualWillingnessTo Pay (WTP)of CustomersWTP DifferenceHistogramValue Difference betweenSpacely Sprockets andCogswell CogsValue DifferenceSpacely SprocketsCogswell CogsWTP HistogramSpacely Sprocketsvs Cogswell CogsWTP HistogramZero Correlation betweenOrthogonal ProductsProfit Engine Table Creator Profit Engine Row Filter Row Filter Concatenate RecursiveLoop Start Recursive Loop End Column Filter Column Filter Row Filter Column Filter Sorter Profit Engine Column Filter Concatenate Row Filter Row Filter Row Filter Line Chart(JFreeChart) Line Chart(JFreeChart) Line Chart(JFreeChart) Line Chart(JFreeChart) CustomerDistributions Histogram Chart(JFreeChart) Math Formula Histogram Chart(JFreeChart) Histogram Chart(JFreeChart) Linear Correlation

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Created by: Berlin
Created at: 2018-05-23
On NodePit since: 2021-02-05
Last update: 2024-05-01
Created with KNIME version: v4.3.0

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