220-300 Marketing discussion question

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Misen produces high quality chef’s knives that are targeted at consumers who are serious about cooking at home. According to the company, its knives are made of “AICHI AUS-8 steel, which offers a great balance of sharp edge retention and durability, with 60% higher carbon content than other ‘premium’ knives.” Misen’s knives compete with premium knives made by well known German companies like Henckel and Wusthof, which are usually sold in kitchenware specialty retailers like Sur le Table. In the stores, consumers can see the available knife styles and try out the feeling of a knife in the hand. Misen, on the other hand, only sells its products online direct to consumers. According to Misen, “by cutting out the middlemen and selling directly to customers online, we’re able to offer incredible tools at an honest price.” Misen shows a comparison of the retail price of its own chef’s knife ($65) to that of a “mainstream competitor” ($150).

Misen seems to be claiming that by not using retailers (cutting out the middlemen) it is able to offer a lower price to shoppers. Do you agree that Misen’s prices are lower because it has eliminated the middleman? If so, begin your answer with Yes and explain exactly how it is possible for Misen to offer a lower-priced high-quality knife. If you do not agree, then begin your answer with Disagree, and explain precisely why Misen’s price is not likely to be lower because they have eliminated the middleman.

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220-300 words limit. Must be original work.

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