MARKETING: AN INTRODUCTION
MARKETING: AN INTRODUCTION
16th Edition
ISBN: 9781323388709
Author: Armstrong
Publisher: PEARSON C
Question
Book Icon
Chapter 9, Problem 9.2DQ
Summary Introduction

To Determine: The cost-plus pricing method and the reasons why marketers use it even it is not the best approach for price setting.

Cost plus pricing:

The essentials of cost plus pricing procedure is that it sets costs for goods and services, which takes care of the expense of manufacturing and it gives adequate profit margin to the firm to achieve its target return. The organization chooses the limitations that it needs from the item, and after that includes the margin on the top of the cost to go to an trading value.

Blurred answer
Knowledge Booster
Background pattern image
Recommended textbooks for you
Text book image
Principles Of Marketing
Marketing
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Pearson Higher Education,
Text book image
Marketing
Marketing
ISBN:9781259924040
Author:Roger A. Kerin, Steven W. Hartley
Publisher:McGraw-Hill Education
Text book image
Foundations of Business (MindTap Course List)
Marketing
ISBN:9781337386920
Author:William M. Pride, Robert J. Hughes, Jack R. Kapoor
Publisher:Cengage Learning
Text book image
Marketing: An Introduction (13th Edition)
Marketing
ISBN:9780134149530
Author:Gary Armstrong, Philip Kotler
Publisher:PEARSON
Text book image
MKTG 12:STUDENT ED.-TEXT
Marketing
ISBN:9781337407595
Author:Lamb
Publisher:Cengage
Text book image
Contemporary Marketing
Marketing
ISBN:9780357033777
Author:Louis E. Boone, David L. Kurtz
Publisher:Cengage Learning