Traditional economic theory asserts that in a situation of perfect competition where there is perfect knowledge and perfect substitutes available, price is the primary basis of competition and the primary determinant of demand (Phillip Kotler, principles and practice of marketing). Required: A. Discuss the advantage and disadvantage of seeking competitive advantage through price. B. Explain the various pricing strategies available to a marketer launching a new product in Zambia and make reference to examples of products that they would best fit.

Traditional economic theory asserts that in a situation of perfect competition where there is perfect knowledge and perfect substitutes available, price is the primary basis of competition and the primary determinant of demand (Phillip Kotler, principles and practice of marketing). Required: A. Discuss the advantage and disadvantage of seeking competitive advantage through price. B. Explain the various pricing strategies available to a marketer launching a new product in Zambia and make reference to examples of products that they would best fit.

Microeconomics: Private and Public Choice (MindTap Course List)

16th Edition

ISBN:9781305506893

Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Chapter10: Price-searcher Markets With Low Entry Barriers

Section: Chapter Questions

Problem 15CQ

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