question
Unit Contribution
answer
Price - Variable cost per unit
question
total contribution
answer
unit contribution * quantity sold
question
% margin
answer
(Price - Variable cost per unit)/Price * 100
question
% markup
answer
(Price - Variable cost per unit)/Variable cost per unit * 100
question
CLV (customer lifetime value)
answer
(m1/(1+i))+((m2+r)/(1+i)^2))+((m2+r^2)/(1+i)^3))...-AC
question
EVC (Economic Value to the Customer)
answer
Price B + (Value A - Value B)
= Price B + (extra rev - extra cost)
= Price B + (extra rev - extra cost)
question
Long run stable market share
answer
S = SB/(1+SB-R)
SB = switch back rate
R = repeat purchase probability
SB = switch back rate
R = repeat purchase probability
question
The value framework
answer
Buyer's gain = value to buyer - price
Seller's gain = Price - seller's cost
Power of seller vs buyer = seller's gain / buyer's gain
Seller's gain = Price - seller's cost
Power of seller vs buyer = seller's gain / buyer's gain
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