Case: Commercializing Kunst 1600 Dry Piston Pump

Submitted By: Nikit Tyagi 10PGDM035 Rajesh Rai 10PGDM041 Saurabh Mathur 10PGDM045 Syed Mehtaj 10PGDM113

About Product
Aluminium body Pumping speed of 1.6 CFM Weighs 16.5 pounds Fewer working parts Oil free Retail price: $500

Value & Price Elements

Technicians will not have to change oil Made from Injection molded aluminium, making it corrosion free Fewer body parts, hence lighter Highly priced but reduction in other costs

Value Placeholders
Warranty/guarantee After sale service High resale value Environment friendly due to no oil usage

Residential AC Repair segment

Highly Seasonal, lasting 20 weeks Technicians perform 1000 jobs/season Per Job Revenue: $350, PBT:$70 Time: 1hr Technician wages: $30/hr Requirement : 3-6 CFM

Attributes
Attribute CFM Price Weight Job time Wages/hr Residential AC Repair 3-6 $250-$320 20-30 pounds 1 hour $30 Home refrigerator 1 $150 10 pound 15 min $15 Home & Light Refrigrator 1.5 $200 15 pounds 30 min $24

Job Specification
Residential AC Working Hours per week No of weeks Revenue per job PBT per job Oil change time Oil change Oiling Cost 50 hrs 20 $350 $70 30 min Per job $8 per Quart+$.5+$.15 Home Refrigerator 8.75 hrs 52 $90 $10 30 min Per month $4 per Pint+$.5+$.15$ Light Refrigerator 12.5 hrs 52 $200 $30 30 min Per month $4 per Pint+$.5+$.15$

RAC
kunst Price no. of jobs / season Life no. of jobs / pump Oil cost/job Total cost 500 1000 5 5000 0 0 others 250 1000 3 3000 23.65 1419

HOME
kunst Price no. of jobs / season Life no. of jobs / pump Oil cost/job Total cost 500 1820 5 5000 0 0 others 150 1820 3 3000 12.15 437.4

LIGHT
kunst Price no. of jobs / season Life no. of jobs / pump Oil cost/job Total cost 500 1820 5 5000 0 0 others 150 1820 3 3000 1.15 600