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The cost of use, which considers all theĬosts of operation and the operational productivity derived from the To four key competitors whose products are similar to one another andĬIMdata believes that user companies attach too much importance to Unix or Windows.) Vendors tend to pick two Two major groups: independent NC software vendors and integrated CAD/CAM

Must provide value to the customer and create a reasonable profit forįor the purpose of pricing analysis, the market can be segmented into Levels in relation to specific competitors within their market segment,īut not in relation to a specific pricing leader. Vendors worldwide, no single vendor or group of vendors can set the No vendor has more than a 9% market share, and, with more than 100 Software there is neither a dominant vendor nor a clear pricing leader. In some markets a dominant vendor is also the pricing leader. Companies lowering prices tend to be CAD/CAM vendors that provide NC software. The value of software, however, continues to increase as moreįunctionality is added at the same price, and the price per unit ofįunctionality will decline. There appears to be a slight trend toward increasing Percent of vendors did not change prices in 1996, and 80% say they Though competition is intense, pricing is relatively stable. Here is a perspective on the industry from CIMdata's NC Software Software package that best fits your needs. Than another - until the user "gets into the game." LearningĪll you can about vendor pricing strategy can help you purchase the On the surface one package may look more attractive Like personal seat licenses (PSLs) at pro football stadiums, software