A price strategy defines the initial price and gives direction for price movements over the product life cycle. The price policy is a strategy set for a specific market segment, based on a well-defined positioning strategy.
Price tactics used to fine-tune a base price are the following: discounts (such as cash, quantity, and functional or seasonal discounts); allowances (such as promotional allowances); and rebates. All three are ways to induce buyers to do something they might otherwise not do. Geographic pricing tactics (such as FOB origin, uniform delivered, zone, freight absorption, and basing-point pricing) all moderate the impact of shipping charges as a portion of the product price. Special pricing tactics (such as single-price tactics, flexible pricing, price lining, professional services pricing, leader pricing, odd-even pricing, bait pricing, price bundling, and two-part pricing) can be used for a variety of reasons.
For example, a business might decide to introduce a new product at a high skimming price, but use some price tactics such as rebates or freight absorption to induce trial.
major strategies used for pricing imitative and new products depends on two factors i.e. price and quantity The strategies are: Premium Strategy= when price charged is high and Quantity supplied is also high Good Value Strategy= when price is low and quantity is high Overcharging strategy= when price is high and quantity is low eg: Maruti Versa Economy strategy= When both price and quantity are low major strategies used for pricing imitative and new products depends on two factors i.e. price and quantity The strategies are: Premium Strategy= when price charged is high and Quantity supplied is also high Good Value Strategy= when price is low and quantity is high Overcharging strategy= when price is high and quantity is low eg: Maruti Versa Economy strategy= When both price and quantity are low
penetration strategy
the retail price is the price that it is intended to be & the cost price is the actual price it is being sold as, for instance a famous brand jacket's retail price is £300 but in the store the costing price would be £250.
There is a large difference between wholesale and retail prices for any product. Wholesale price are much lower so the retailer is able to markup the price and make a profit off the sale of the item.
Customer gets price debate
Discount
No difference. Both are the same.
No difference. Both are the same.
whats the difference between cost and list?
Discount
difference between actual cost and potential price
Subtract the sales price from the actual price!
340
This would be the difference between the the price of an item, and the actual value of it.
it is the same
producer surpluss
no difference, except price.