Jobs
J1 J2 J3 J4
W1 2 10 9 7
W2 15 4 14 8
Workers
W3 13 14 16 11
W4 4 15 13 9
Decision Variables
J1 J2 J3 J4
W1 0 0 1 0 1 1
W2 0 1 0 0 1 1
Workers
W3 0 0 0 1 1 1
W4 1 0 0 0 1 1
1 1 1 1
Objective Fn 28
1 1 1 1
2 rajat.2307021@[Link]
1 rah.2307021@[Link]
3 a.2307021@[Link]
4 b.2307021@[Link]
Industry 3.0
Industry
7
6
5
4
Sigma Level
3
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Industry Level Sigma level
Industry1.0 0.8
Industry2.0 1.2
Industry 3.0 3
Supply Chain Challenges 3.2
Increased R&D Spending 3.5
Adoption of Digital Tech 3.7
On-Time Delivery Record 4.5
Industry 4.0 6
Industry 5.0 6.5
Industry Level vs Sigma Level
7
6
5
4
Sigma Level
3
2
1
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1.
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2.
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3.
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Industry level
Source
Pricing Construction Equipment: A
Review of the Literature
A Study of Pricing Strategies in the
Construction Industry
Pricing Strategies for Construction
Equipment Rental Companies
Pricing Trends in the Construction
Equipment Industry
Construction Equipment Market
Analysis and Forecast
Pricing Strategies for Construction
Equipment: A Case Study of Tata
Hitachi and JCB
5 Strategies to Win at Construction
Equipment Pricing
How to Price Construction
Equipment for Maximum
Profitability
The 5 Keys to Effective Construction
Equipment Pricing
Case Study: Tata Hitachi Optimizes
Pricing Strategy for Shinrai Prime
Backhoe Loader
Annual Report 2023: Tata Hitachi
Construction Machinery Pvt. Ltd.
JCB's Pricing Strategy: A Case Study
Factor Shinrai Backhoe Loader
Value-conscious customers, small to
Target Market
medium-sized construction projects
Value-based pricing, competitive
Pricing Strategy
pricing
Product cost, competition, market
Pricing Factors
demand
Negotiable pricing, discounts for
Pricing Flexibility
bulk purchases
Price Positioning Affordable, competitive pricing
Value proposition, affordability,
Marketing Emphasis
reliability
Key Findings
Key factors influencing pricing strategies in the
construction equipment industry include product
cost, competition, market demand, and target
market.
Companies that effectively use data to inform
their pricing strategies can achieve significant
benefits, including increased revenue, improved
profitability, and enhanced customer satisfaction.
Successful pricing strategies in the construction
equipment industry typically consider the
following factors: product cost, competition,
market demand, and target market.
The current pricing landscape for construction
equipment is characterized by intense
competition, rising costs, and evolving customer
expectations.
The construction equipment market is expected
to grow at a CAGR of 4.5% from 2023 to 2030,
driven by increasing infrastructure investments
and rising demand for rental equipment.
Tata Hitachi and JCB employ different pricing
strategies, with Tata Hitachi focusing on value-
based pricing and JCB adopting a premium pricing
approach.
Effective pricing strategies in the construction
equipment industry should consider the following
factors: product cost, competition, market
demand, target market, customer behavior, and
market trends.
Companies can optimize their pricing strategies by
using data analytics, conducting competitor
analysis, and understanding customer behavior.
The five keys to effective construction equipment
pricing are: understanding your costs, knowing
your competition, understanding your customers,
setting the right price, and managing your pricing
strategy.
Tata Hitachi successfully optimized its pricing
strategy for the Shinrai Prime backhoe loader by
considering customer feedback, analyzing market
trends, and conducting competitor analysis.
Tata Hitachi's pricing strategy is aligned with its
overall business strategy and marketing efforts,
contributing to the company's strong market
position and profitability.
JCB's pricing strategy is based on its strong brand
reputation, innovative product features, and
premium positioning in the market.
EX200 Excavator**
A wider range of customers, including value-
conscious and premium customers
Value-based pricing, premium pricing
Product features, performance, brand reputation,
market demand
Negotiable pricing, discounts for bulk purchases
Affordable to premium pricing, depending on the
product
Value proposition, affordability, reliability, for
value-conscious segments; performance,
durability, advanced features, brand reputation,
for premium segments
Assingment
Rajat Debashish Ayush Billu Doggy
Data Analytics 90 10 90 7 92
SCM integration 92 4 50 60 65
Workers
Project 90 14 10 65 6
Case 99 15 5 9 5
Dummy 0 0 0 0 0
Decision Variables
Rajat Debashish Ayush Billu Doggy
Data Analytics 0 0 1 0 0 1 1
SCM integration 0 0 0 0 1 1 1
Workers
Project 0 0 0 1 0 1 1
Case 1 0 0 0 0 1 1
Dummy 0 1 0 0 0
1 1 1 1 1
1 1 1 1 1
Objective Fn 319
Assingment
Rajat Debashish Ayush Billu Doggy
Data Analytics 90 10 90 7 92
SCM integration 92 4 50 60 65
Workers
Project 90 14 10 65 6
Case 99 15 5 9 5
Dummy 0 0 0 0 0
Decision Variables
Rajat Debashish Ayush Billu Doggy
Data Analytics 0 0 1 0 0 1 1
SCM integration 0 0 0 0 1 1 1
Workers
Project 0 0 0 1 0 1 1
Case 1 0 0 0 0 1 1
Dummy 0 1 0 0 0 1
1 1 1 1 1
1 1 1 1 1
Objective Fn 319
Before assigning
Cost per unit
Albuquerque Boston Cleaveland Capacity
Des Moines 5 4 3 100
Evansville 8 4 3 300
Fort Laiderdale 9 7 5 300
Requirement 300 200 200
Volume
Albuquerque Boston Cleaveland Capacity
Des Moines 100 0 0 100 100
Evansville 0 200 100 300 300
Fort Laiderdale 200 0 100 300 300
300 200 200
Requirement 300 200 200
Cost 3900
