End Market and Pricing Strategy

End Market Focus

• The company targets a higher-end market.
• This market focuses on a small segment of the population.
• Reason: Their cars are more expensive, limiting affordability to fewer people.

Pricing Clustering Problem

• Problem: Clustering of firms around the $20,000$ to $30,000$ price range.
• Question: Is this clustering a consequence of the market or based on the company's decisions?
• The clustering around a specific price range isn't based on company decisions but rather the product of market dynamics.