How should NICE Systems Ltd. price its business solutions?
How should NICE Systems Ltd. price its business solutions?
Israeli firm NICE Systems is the leading company behind that familiar customer-service phrase: "This call is being monitored for quality assurance." Behind that ubiquitous line is NICE's hardware and software installations, which collect and analyze unstructured data and help improve clients' customer service. NICE must constantly invest in R&D to upgrade its products. To ensure each deal is profitable, NICE needs to consider the costs of adding to a client's services or installing new configurations. In this case students recommend pricing for four potential deals after studying NICE's costs, balance sheet and income statement data and technological infrastructure.