A market study of color printers

Printer manufacturing market seems to be a prosperous one. Decision makers are no doubt eyeing expansion and comes back with newer products to capture the booming market. The makers are curious about color printer sector purely because of expansion. There is fierce competition among manufacturers, all focused on keeping prices low to win the market. It must be said here that even in the monochrome section of Hewlett-Packard co. is the market leader, the reigning company in the color segment is still unresolved. 

But the future of the color printer market is assumed to be a bright one according to those who invest in these companies. Investors are very optimistic, as these printers use four times the toner cyan, magenta, yellow and black in a monochrome printer that will produce images of much higher quality. Market, currently one billion U.S. dollars of trade will increase manifold. 

Adding to its product line, printing large Lexmark introduced its c52x series that included c524n June last year. Earlier there was a huge gap in its color lineup, only the low end C510 with a capacity of printing 8 color and 30 black and white images in a single minute that was not all that quickly. There existed conjointly, facet-by-side, high-end C762, even with a higher speed, was very expensive and therefore difficult to give the small office and residential customers. Since there was no other product catering to the stress on users competitors Lexmark had an attitude about it. 

The introduction of the Lexmark c524n however changed things. 

They introduced this product with a terribly low value range, and thus make it cheaper. Offering a dpi resolution of 1200 * 1200, this network ready color laser printer has a stunning color prints and can print up to twenty pages in minutes. The very first page can be printed in a little as 13 seconds. The model has a monthly duty cycle of 65,000 pages, which is somewhat impressive. The new C524 further reduces the time as print jobs significantly, since it is a 437.5MHz processor and 128Mbytes of memory. Memory will be extended up to 576, which reduces the waiting time taken to print. Moreover, color care technology and Lexmark coverage estimator help manage the price, those in the use of color tones. The model weighs fifty seven pounds, is 17.3 inches long, nineteen inches high and 20.two deep. Conjointly with the model comes a CD consisting of manual and also the printer software, a control cable, a paper exit tray extension tray, founded sheets and toner cartridges for cyan, yellow, magenta and black. This product includes one year warranty amount of the repair site. 

It goes without saying that the outsourcing of IT and electronic merchandise shopper lower cost to manufacture the product, which helps to lower prices for well done. The question is how low the producers should keep their margins to remain in the race in today's color printing market? 

This analysis laboratory investigated c524n on a product volume of 1, twenty, 000 units under the belief (that) model was created in China. An analysis was created by the purchase costs of commodity components, manufacturing prices of manufactured items and location labor rates. Production cost was estimated at around £ 265 / unit. The breakdown of costs showed the value of the printer mechanism and its assembly to be with respect to 51 pounds. Electronics assembly and accounts for 60 pounds. Alternative costs included laser power supply, consumables assembly, fuser assembly, paper session, panel session electronics assembly, final agreements, etc. 

At the time of the launch of merchandise, was the product would be priced at 390 pounds. However, Lexmark product price of nearly [* FR1] of the originally expected value at some sites. To maximize its revenue, the corporate governance of a very wise move, equipped with the toner cartridges different. Toner content was increased or decreased in accordance with the budget of the client. The additional expensive models containing more tones catered to the demands of the enterprise section, while cheaper models with a low yield cartridges was ideal for small offices and home users conjointly. 

The product is suitable price, it was a great success, fully equipped to meet the needs of patrons and therefore manufacturers and compete with its rivals in the lucrative color printer market. Lexmark claimed print quality was photorealistic. Because of its chemically treated, spherical toner deliver a 1200 * 1200 dpi, and also as a result of the new print head four lasers in one unit with a mirror. The machine enabled Lexmark to insist on firm market with their competitors, particularly Hewlett-Packard.