How does the profit of a business firm behave during the product life cycle? “Knowledge of the product life cycle is important for cost management.” Comment. What pricing strategies can be adopted by a business firm using the product life cycle?

How does the profit of a business firm behave during the product life cycle? “Knowledge of the product life cycle is important for cost management.” Comment. What pricing strategies can be adopted by a business firm using the product life cycle?

Marketing

20th Edition

ISBN:9780357033791

Author:Pride, William M

Publisher:Pride, William M

Chapter19: Pricing Concepts

Section: Chapter Questions

Problem 4DYMP

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Concept explainers

Customary Pricing

There are various types of pricing strategies followed in the market. They are psychological pricing, odd pricing, free onboard pricing, customary pricing, prestige pricing, dual pricing, ruling pricing, negotiated pricing, mark up pricing, etc. each one can be explained as follows:

Multiple Unit Pricing

“Multiple-unit pricing is a practice where a company offers consumers a lower than unit price if a specified number of units are purchased.”

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How does the profit of a business firm behave during the product life cycle?
“Knowledge of the product life cycle is important for cost management.” Comment.
What pricing strategies can be adopted by a business firm using the product life cycle?

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