CONNECT FOR MARKETING 180DAY
CONNECT FOR MARKETING 180DAY
6th Edition
ISBN: 9781260537307
Author: Grewal
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Chapter 15, Problem 5MA
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 To discuss: The pricing strategy adopted by person X who is in charge of pricing the new line of a washing machine with the latest technology.

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Penetration pricing and price skimming are marketing strategies commonly implemented when companies launch new products or services. Both approaches have worked for businesses, but you have to understand how your price relates to your overall marketing and promotions strategies. Penetration pricing relies on a low upfront price to attract customers, while skimming is the use of high upfront prices to maximize short-term profits from the most eager and interested customers. Compare and contrast market skimming and market penetration pricing with the help of above definitions. Discuss how companies adjust their prices to take into account different types of customers and situations?
Imagine you are the product manager for Neutrogena’s sun protection product line and your team developed a new type of sunscreen. Which two B2B pricing tactics would you use to promote it? Why?
Which pricing objectives will you use for your product? Consider the product life cycle, competition, and product positioning for your target market during your discussion. PlayStation
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