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MKT 403 · Unit 1 of 6

Economic Value and Willingness to Pay

Pricing Strategy and Revenue Growth

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Learning objectives

After completing this unit, you will be able to:

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  • Apply the frameworks in "Economic Value and Willingness to Pay" to a real management decision
  • Make progress on your Concentration case analysis applied project

Why this matters

Economic Value and Willingness to Pay applies BrightBrew examples to specialized marketing decisions with worked problems, guardrails, and assessments.

Lesson

Unit overview

Complete all 4 lessons in order. Each lesson uses the BrightBrew anchor from MKT 201/202 with MBA-depth prose, reconciled numbers, practice problems, and managerial judgment prompts. Finish unit exercises and the knowledge check before marking the unit complete.

Connection to applied work

This unit feeds directly into Concentration case analysis. As you read, capture notes, examples, and data you can reuse in that deliverable. Strong students finish each unit with a draft section of their project, not just highlights.

Practice

  1. Write a one-page summary of this unit in your own words without looking at the lesson.
  2. Find a real company example (public filing, news article, or personal experience) that illustrates the main concept.
  3. Draft one paragraph recommending an action a manager should take based on this unit.
  4. Add at least three terms from this unit to your course glossary.

Knowledge check

Answer these without notes before marking the unit complete:

  1. What is the central idea of "Economic Value and Willingness to Pay"?
  2. What mistake do beginners most often make when applying this material?
  3. How does this unit help you complete Concentration case analysis?
  4. What is one decision you face this month where this unit applies?

Key takeaways

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  • Business concepts only matter when they change a decision.
  • Your MKT 403 assessment (Pricing Strategy and Revenue Growth) rewards applied understanding, not memorization.

Unit assessment

Complete each section below. Score 80%+ on the quiz to finish this unit's assessment.

50% applied project30% case work20% knowledge checks

Exercises

Apply what you learned in this unit with structured practice.

ExerciseApplied practice: Economic Value and Willingness to Pay45 min
Complete a focused practice exercise on **Economic Value and Willingness to Pay**. 1. Choose a real company, product, or situation you know. 2. Apply one core framework from this unit to analyze it. 3. Write your analysis in 300–500 words with a clear recommendation. 4. Cite at least one credible source.

Deliverable

300–500 word analysis document saved to your portfolio under MKT 403.

Rubric

  • • Framework applied correctly (not just named)
  • • Specific evidence from a real example
  • • Clear recommendation with tradeoffs acknowledged
  • • Professional writing with source citation
ExerciseDrill: Economic Value and Willingness to Pay30 min
Work through the practice problems in the unit lesson without looking at notes. Then check your work against the lesson and write a short reflection: - What you got right - One mistake you caught - One concept to review before the next unit

Deliverable

Problem solutions + 150-word reflection in your MKT 403 workbook.

Rubric

  • • Attempted all practice items before checking answers
  • • Honest reflection on errors
  • • Identifies a specific review action

Case analysis

Analyze a case using frameworks from this unit.

CaseCase analysis: Economic Value and Willingness to Pay60 min
Analyze a real business case through the lens of **Economic Value and Willingness to Pay**. Choose a public company event, HBR-style case, or documented decision. **Deliverable structure:** 1. Situation summary (150 words) 2. Analysis using this unit's frameworks (400 words) 3. Recommendation (150 words) 4. Risks and what would change your mind

Deliverable

2-page case write-up in your portfolio.

Rubric

  • • Case facts are accurate and sourced
  • • Analysis uses unit frameworks explicitly
  • • Recommendation is justified with tradeoffs
  • • Risks are specific, not generic

Knowledge quiz

Check your understanding before marking the unit complete.

1. BrightBrew leadership debates economic value and willingness to pay. Which framing best matches MKT 403 managerial purpose?

2. For price realization versus EVC midpoint, BrightBrew reports baseline near 72.0% and a treatment scenario near 81.0%. What is the guardrail Elena should monitor?

3. A manager cites one vivid customer story to justify scaling economic value and willingness to pay nationally. What is the best next step?

4. Which competitor comparison is most relevant to this unit's BrightBrew work?

5. Sam Rivera wants to scale spend while price realization versus EVC midpoint is up but conversion rate at pricing page is deteriorating. What should leadership do?

6. Which framework pairing belongs to this unit?

7. BrightBrew serves 142,000 subscribers with 4.2% monthly churn and $42 CAC. Why does economic value and willingness to pay require subscriber-scale thinking?

8. Which evidence label is appropriate when BrightBrew has only historical cohort patterns for economic value and willingness to pay and no experiment yet?

Next unit: Segmentation and Price Discrimination →