Christopher Sanchez is Regional Manager at Digital Depot in New Orleans, Louisiana. He received an e-mail from Thomas Heffernan, a frustrated customer who is demanding a steep price match for all his trouble with two new 4K Ultra HD televisions that both malfunctioned (see Activity 6.12). He had bought an Insignia 50-inch 4K Ultra HD TV Model NS-50DR710 at Digital Depot for $399.99 plus tax. After installing it, he found, much to his chagrin, that the TV set failed the very next day. Wanting a new TV as soon as possible, he drove 30 minutes to the same Digital Depot store to exchange the faulty model for another Insignia NS-50DR710.

A few days later, this TV also conked out. Again Thomas had to return the TV set, but this time he insisted on exchanging it for a different brand, a comparable Samsung 4K Ultra HD TV (Model UN50KU6300). However, the Samsung TV cost $749.99, nearly twice as much as the Insignia. The e-mail landed in Mr. Sanchez’s inbox because the lower-level sales managers were not authorized to grant an adjustment of such magnitude.

Mr. Sanchez empathizes with the customer, but the price difference is substantial. He decides to grant the adjustment as long as Mr. Heffernan forgoes the latest 4K Ultra HD model with a 2160p resolution and instead accepts a conventional Samsung 1080p HD TV that costs $449.99. Alternatively, Mr. Sanchez can offer the customer for $499.99 a substantially reduced soon-to-bed is continued Samsung 4K Ultra HD TV, a floor model. Of course, Mr. Heffernan could also try his luck with another Insignia 4K Ultra HD TV that would require no additional payment.

Your Task. 

Because he wants to respond promptly to the frustrated customer, Mr. Sanchez asks you to write an adjustment e-mail to Thomas Heffernan (theffernan@gmail.com) and explain his options. Copy the store manager, Herbert Greene, who has called Mr. Sanchez about Mr. Heffernan’s request.