The case study states that Kodak's gross margins were around 70%, so the cost of the Gold Plus would probably be $1,047 per unit, 30% of $3.49. After cutting the price of Gold Plus by 15%, Kodak still has a profit of $1.9195 per unit, higher than Fujicolor Super G's profit of $1.6005, 55% of $2.91. It is clear that justifying a reduction in the price of Gold Plus by 15%, which brings the price to $2.9665, is realistic. However, the price reduction may compromise the image quality of the Gold Plus cinema product. Therefore, Kodak must be very careful if charging this price