Q: What is the difference between a Variable Pricing Strategy and a Price Lining Strategy? Under what…
A: For any business it is important to set the best price for its product or service. While selling a…
Q: Cost plus pricing is a logical method of pricing since it takes into account current demand,…
A: Cost plus pricing is a pricing strategy in which the price of the goods which is to be sold is…
Q: Compare and contrast the geographic pricing strategies that companies use for customers located in…
A: Pricing strategies can be referred to a marketing strategy that is utilized by the organizations to…
Q: Explain in your own words and also give examples of how price gouging is harmful for the customers…
A: Quality management is a process of controlling or managing the quality of the product so as to…
Q: Assume you are the finance officer of a private school; due to pandemic the revenues are declining.…
A: Pricing decisions are the decisions made by businesses when determining the price of their products…
Q: How does the target cost method differ from the cost-plus pricing method? Which would you prefer?…
A: Target costing determines a product's life-cycle cost, which should be sufficient to create…
Q: How does value pricing strategy affect the company's performance and how they benefit from this?
A: The pricing strategy to be used for marking the price of a product is not an easy decision for a…
Q: Describe the basic market forces that are relevant to pricing and decision-making for companies.…
A: Pricing is an important parameter which governs the purchase decisions of the customers. Pricing…
Q: Though organizations sometimes base pricing decisions on the cost of materials, another option is to…
A: A customer purchases a product because he believes it will benefit him. Customer perceived value is…
Q: Look up the following site to evaluate restaurants’ pricing strategies based on reviewers’…
A: Price is more of a psychological concept where it acts as a perceived value in the eyes of the…
Q: what pricing recommendation would you make to the CEO?
A: Pricing determines that the efforts companies have put in till now will be fruitful or not. The…
Q: n pricing a product cost work as a floor and customer perception of the value of a products works as…
A: value-based pricing can be defined as a strategy for pricing goods or services that adjusts the…
Q: Some firms have profit as a pricing objective. whereas others set prices forcustomer satisfaction.…
A: The pricing objective of the company becomes the basis of what pricing strategy will it use to price…
Q: What profit-based pricing approach should a manager use if he or she wants to renect the percentage…
A: Pricing is the process by which a company determines the price at which it will sell its products…
Q: Compare and contrast market-skimming and market penetration pricing strategies and discuss the…
A: A pricing strategy considers fragments, capacity to pay, economic situations, contender activities,…
Q: The pricing strategies of car dealers and airlines are somewhat unique and are examples of variable…
A: * Upon critically examining both the articles we can come to following conclusions - - Both the…
Q: Explain. The Cineteca Nacional offers different box office prices; the price to the general…
A: Pricing strategy is the part of marketing management where competitive prices are set by business.…
Q: What is the purpose of Pricing Strategy? Why is it important to charge the right price?
A: Pricing strategy is a method used by the company to label prices on the goods and services provided…
Q: According to the Hanson Production: Pricing for Opening Day Case Study by Peter Famiglietti, What…
A: The president of production at Hanson Productions, an off-Broadway production company, was faced…
Q: Imagine that you are the manager of a large clothing company with market power that specializes in…
A: Discrimination Pricing: This is the practice of charging different prices to different customers for…
Q: Driving volume is a key pricing objective for many businesses. Name and give an example of a…
A: Driving volume as a pricing objective means driving maximum sales form the market. By deciding the…
Q: explain and give an example of cost-plus pricing, targetcosting, and yield management pricing
A: Pricing is the process where the organization sets the prices of its product or services which are…
Q: How is value-of-service pricing calculated? Is this price strategy still applicable today?
A: The value-of-service pricing and determine whether the approach will be valid in the present trends.…
Q: What is the concept of value-of-service pricing? Is this price strategy still relevant today?
A: The importance of the service price and whether the strategy is true in current patterns.
Q: Explain how a firm can increase its profit by price discriminating. How does it determine optimal…
A: Price discrimination can be referred to as the selling strategy where the seller sells the same…
Q: The airline industry alters the price of its seats based on the type of seat, the number of seats…
A: Dynamic estimating (or dynamic value segregation) is widely concentrated in the aircraft business…
Q: You have recently been appointed as the Marketing Manager of a Dog Grooming Business. The leadership…
A: Pricing strategies refer to the marketing strategy which is used to determine the prices of products…
Q: What is the difference between a price skimming and price penetration strategy and when should each…
A: Price Skimming strategy: Price Skimming is a pricing strategy in which high initial prices are…
Q: What is the advantages and disadvantages of Buyer-oriented pricing strategy? Explain. Please send…
A: Pricing of product plays a significant part in deciding the success and profitability of the product…
Q: a premier league football club estimates that whilst the price elasticity of demand for its…
A: The elasticity of demand is the change in demand due to the change in one or more of the variable…
Q: Why is it necessary to acknowledge the significance of the marketing mix in the formulation of…
A: Disclaimer: Since you have asked multiple question, so we will solve the first question for you. If…
Q: What are different factors that should be considered by marketers before deciding price of the…
A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If…
Q: Discuss 2 internal factors and 2 external factors that can impact the pricing decision of a company?
A: Disclaimer: Since you have asked multiple question, so as per the company guidelines, we can solve…
Q: For the following scenarios, suggest a pricing strategy and justify why that strategy is most…
A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…
Q: Compare JCPenney’s former traditional approach to pricing versus the “Fair and Square” pricing…
A: Price is a psychological concept where it acts as a perceived value in the eyes of the customers.…
Q: escribe the general advantages and drawbacks of the penetration pricing strategy. For example,…
A: Whenever a product sells cheaper than that of the competitors throughout its original launch phase,…
Q: When maintaining an effective costing system, why is it important to conduct regular competitive…
A: The cost system of the business ensures that the budget related to product development and marketing…
Q: Could Lululemon have achieved the same level of suc- cess had it executed an alternative pricing…
A: Pricing strategy is a way how companies price their product and services . An effective…
Q: For what types of products would price skimmingbe most appropriate? For what types ofproducts would…
A: Price skimming and price penetration are the pricing methods adopted by organizations when…
Q: in terms of marketing how would you identify and discuss the important internal and external factors…
A: All for-profit businesses, as well as several non-profits, ought to so establish costs for his or…
Q: is pricing policy an appropriate mechanism to control inventory levels? If so how should price be…
A: In an organization, the decisions related to prices are taken at two levels. One is dealt with by…
Q: What would be your response to the statement," Profit maxmization is the only legitimate pricing…
A: Profit maximization can be done by various ways. The company can reduce the cost by enhancing its…
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.”
Let's say you have opened a new retail supermarket. You have two competitors, one 2 KM away, and the other 3 KM blocks away, from your store. Please explain, with two very clear reasons, what type of pricing approach will you adopt?
Step by step
Solved in 3 steps
- If you were planning on creating an online financial brokerage service, how would you approach creating a pricing strategy with consideration to marginal cost, demand, the elasticity of demand, no of competitors, no. of substitutes, prices of similar products on the market etc.Describe the basic market forces that are relevant to pricing and decision-making for companies. Include the following: What information would you want to have in order to make sound pricing decisions? With financial information, there is often some level of uncertainty and estimation. How would you explain any risk or uncertainty about information to senior management? How would you suggest monitoring and responding to competitors' pricing actions?You have recently been appointed as the Marketing Manager of a Dog Grooming Business. The leadership team has asked you to ‘price’ a new service – a ‘Mobile’ Dog Grooming service. Explain, with examples, the five factors you should take into consideration when developing a pricing strategy?
- For the following scenarios, suggest a pricing strategy and justify why that strategy is most suitable for that business. (penetration, economy, price skimming, psychological, premium, competitor, cost plus) Scenario 1: Corey has just launched an online business selling customised hoodies. The hoodies are high quality and made uniquely for each individual customer. He sells them solely online through his Shopify store. Scenario 2: Jasmin has a well-established coffee shop in her local area that has a strong reputation. Due to her strong reputation Jasmin has developed an ice cold coffee drink in a can. She has just secured a deal to supply local grocery stores and garden centres with her new product. Scenario 3: Ellie writes eBooks for people in business and has a very reputable name but is branching out to follow her passion of writing eBooks for children. This is a highly competitive market where her name as an author is not known. For…If you were young, what pricing recommendation would you make to the CEO?Assume you are the finance officer of a private school; due to pandemic the revenues are declining. However, you suspect that raising tuition might not be a good decision. What internal and external pricing factors should you consider before deciding? Support your answer with an example
- First review the topics below and select one. Once selected, include the concept, a description of the concept, and what about the concept you understand and what it is about the concept that can be confusing. How pricing objectives should guide strategy planning for pricing decisions. Setting the price level for a product in the early stages of the product life cycle. Variations of a price structure, including discounts, allowances, and who pays transportation costs. The role of price in obtaining a competitive advantage by offering target customers superior value. The legality of price-level and price-flexibility policies. How most wholesalers and retailers set their prices by using markups. Advantages and disadvantages of average-cost pricing. How to use break-even analysis to evaluate possible prices. The advantages of marginal analysis and how to use it for price setting. Demand-oriented factors that influence price setting. Elements of the marketing strategy planning process…Cost plus pricing is a logical method of pricing since it takes into account current demand, perceived value, and competition. TRUE OR FALSE?Think about the last time you went to a shop, and consider how many different products there were to choose from, all of which have different prices Explain how pricing affects you as a consumer. Include the following details: An example of a time when you were faced with two identical or similar options and chose the cheaper option and explain why; If there are any products or services you feel you cannot compromise on price for, and why or why not; and How pricing affects your satisfaction with a product or service.
- What is the difference between a Variable Pricing Strategy and a Price Lining Strategy? Under what circumstances would each be used?For the following scenarios suggest a pricing strategy and justify why that strategy is most suitable for that business. Scenario 1 Corey has just launched an online business selling customized hoodies. The hoodies are high quality and made uniquely for each individual customer. He sells them solely online through his Shopify store. Highlight the correct answer. a. Penetration pricing b. Economy pricing c. Price skimming d. Psychological pricing e. Premium pricing f. Competitor pricing g. Cost plus pricing Scenario 2 Ellie writes eBooks for people in business and has a very reputable name but is branching out to follow her passion of writing eBooks for children. This is a highly competitive market where her name as an author is not known. Highlight the correct answer. a. Penetration pricing b. Economy pricing c. Price skimming d. Psychological pricing e. Premium pricing f. Competitor pricing g. Cost plus pricing Scenario 3 Maurice is a well-established roofer within…Imagine that you are the manager of a large clothing company with market power that specializes in selling blue jean pants. 1) Choose two pricing strategies that were discussed in Chapter (Pricing Strategies for Firms with Market Power) that you would implement as the firm manager. 2) Explain how exactly you would implement these two pricing strategies in the real-world Please answer the 2nd part Expert Answer Step 1 "Since you have asked two questions, we will answer only first question for you. If you have any doubt, then repost the questions separately." Step 2 1) Market Power is the degree to which a firm can influence the price of an item by exercising control over its demand, supply, or both. Pricing strategies are aimed at finding a product’s optimum price, considering the various factors like market objectives, consumer demand, product attributes, price of competitors and market and economic trends. Firms with market power use different price strategies to…