Archive for the 'Marketing' Category

Crusaders at Cellular Industry of Indonesia

It’s been a common phenomenon if the cellular operators in Indonesia participate the war price for flattering customers to move in their operators. Honestly, I don’t like that climate since it possible to conduce many victim as many as crusades. The victims are players, civilians, until the weapon they use for.

Yesterday, I got from this website that the complain against cellular operator is getting more and more. One of the complain above is the advertising trap. The advertisement seems like trap the customers by providing a very low tariff (and free tariff). In the hang in time, suddenly it’s disconnected. My blogger friend from Jogjakarta has complained too, you can read her complain here. I just laugh since I ever underwent the same problem, a while ago.

That’s it, the story above is one of the negative effect caused by the price war. It can create a condition where the company will struggle to reduce cost of good sold (COGS) for pushing the production cost. An extreme impact of the COGS reducing is minimum quality control that can ignore the customers’ satisfaction level to the product. It’s been happened in aero-plane industry like Adam Air case, Lion Air case, etc.

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