Hayward and Guzman Case Study

LEAD 9352 CASE ANALYSIS #1:

Hayward & Guzman:

Disposable Contact Lenses

Pat Suarez

Our Lady of the Lake University

Hayward & Guzman: Disposable Contact Lenses

Identification & Summary of Dilemma

Hayward & Guzman is a company that has invested close to 18 million dollars over the past five years in developing an easier-to-use contact lens product. Nadine Palmer, an employee for this company, is to look over a report and is expected to give a recommendation regarding the pricing of the new disposable contact lenses and was unsure what to do.

After reading the case study, at first glance, I was sure it was the pricing that was the dilemma. However, after reading the case study closely, I concluded that the dilemma was not the pricing of the disposable contact lenses, but the actual way the company was to deceive the consumer for the product being offered. The case study mentions that the company will be offering two disposable contact lenses. Two versions of contact lenses will be offered to the consumer. One will be for the everyday contact user that will allow then to use the contact lenses for two weeks and then get disposed. While the other version of contact lenses will be offered to the occasional contact user that will last 24 hours and then get disposed. The buy in for the consumer will be that they no longer have to worry about extra expenses such as buying saline, contact lens soap, rinsing solution, and a contact case which in the long run will be saving the customer money. In addition, the customer will be able to sleep, swim, and not remove the contact lenses for a period of time. The company goes on to mention that the contact physical lens, in the two different packages, are identical, but its usage would be quite different. It further mentions that the primary difference in positioning for the two contact versions will be the label on the packaging. One product package targets at the everyday contact user will...