Essay on Rr Donnelley & Sons: the Digital Division
I. Traditional vs. On-Demand Digital Printing
How do the characteristics of Donnelley's traditional printing business compare with the characteristics of on-demand digital printing?
R.R. Donnelley and Sons traditional printing business pricing varied depending on the number of pages in the print job. The prices per page decreased as the number of pages increased. The traditional print business consisted of high fixed costs and low variable costs. Offset presses cost approximately $12 million using film and plates with runs of 25,000 to 500,000. The gravure print was more expensive and used etched copper cylinders and would run 500,000 or more. The digital presses were more …show more content…
II. Stages in New Business Creation
What were the critical challenges and tasks that faced the Digital Division in each period: prior to April 1994, between April 1994 and January 1995 and between January and July 1995?
RR Donnelley & Sons had many challenges as they were trying to come to grips with a changing technological world where the print medium was moving toward digital printing on personal computers and with it the pricing, scales of economy, and old business strategy of print by the page. In the early 1990s, Rory