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The Price And The Value Of Price In International Marketing

Decent Essays
Secondly, of all the aspects of the marketing mix, price is the one, which creates sales income, all the others are costs to the organization to achieve this goal. The price of an item is clearly an important aspect of the value of regarding sales. In theory, price is really determined by the discovery of what customers perceive is the value of the item or service for sale (Pride & Ferrell, 2016). Researching consumers' opinions about pricing is important, as it indicates how they value what they are looking for as well as the average amount rendered for the product. For example, researchers’ Lamaism, Khalifa, and Frink, stated “comparison shopping along with paying cheaper prices and the possibility of “saving time” were an…show more content…
Even though albuterol itself might be “off patent”, only name-brand asthma inhalers are available, thanks to pharmaceutical companies locking in the patent on non-CFC-based inhalers prior to the government ban (Rosenthal, 2013). Since there’s now no generic competition on inhalers, the big pharmaceutical companies are free to jack up prices to their heart’s content, without fear of customer rejection because simply put, if you have asthma, you need an inhaler, period. The third “P” in the marketing mix is for place, in other words distribution. Despite the fact that figures shift generally from item to item, approximately one-fifth of the cost of an item includes getting it to the client. 'Place' or distribution is concerned with various methods of logistics. The transporting and storing goods, and then making them available for the consumer. Getting the proper item to the precise vicinity at the opportune time includes the conveyance framework. Although, the distribution strategy will depend upon an assortment of situations. It will be more convenient for some manufacturers to pitch to wholesalers who at that factor pitch to stores, whilst others will want to pitch mainly to outlets or directly to customers. Therefore, because distribution represents bridges between producers and clients in every market of the globe, merchandise is required to go through “distribution channels” before ultimately reaching the customer.
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