![Pricing Considerations ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-2-2048.jpg?cb=1668442667)
![Pricing Considerations ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-4-2048.jpg?cb=1668442667)
![Pricing Considerations ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-5-2048.jpg?cb=1668442667)
![Pricing Considerations ,[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-6-2048.jpg?cb=1668442667)
![Customer Considerations PRICE SENSITIVITY ,[object Object],[object Object],Price sensitivity (price elasticity) reflects how purchase behavior changes with changes in price](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-7-2048.jpg?cb=1668442667)
![Cost Considerations ,[object Object],Total Costs Sum of the Fixed and Variable Costs for a Given Level of Production Fixed Costs (Overhead) Costs that don’t vary with sales or production levels. Executive Salaries Rent Variable Costs Costs that do vary directly with the level of production. Raw materials](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-10-2048.jpg?cb=1668442667)
![Cost Based Pricing Strategies ,[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-11-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],[object Object],Cost Based Pricing Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-12-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],Cost Based Pricing Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-13-2048.jpg?cb=1668442667)
![Cost-Based Pricing Approaches ,[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-14-2048.jpg?cb=1668442667)
![Pricing Strategies ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-16-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],[object Object],Cost Based Pricing Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-17-2048.jpg?cb=1668442667)
![New Product Intro Strategies ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],INTENT FOCUS RESULT SKIMMING PENETRATION](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-18-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],[object Object],[object Object],New Product Intro Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-19-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],[object Object],New Product Intro Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-20-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],[object Object],[object Object],New Product Intro Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-21-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],[object Object],New Product Intro Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-22-2048.jpg?cb=1668442667)
![[object Object],[object Object],[object Object],New Product Intro Strategies](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-23-2048.jpg?cb=1668442667)
![Customer Considerations PRICE AWARENESS ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Source: Dickson and Sawyer (1990)](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-24-2048.jpg?cb=1668442667)
![Customer Considerations REFERENCE PRICES ,[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-25-2048.jpg?cb=1668442667)
![Customer Considerations REFERENCE PRICES ,[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-26-2048.jpg?cb=1668442667)
![Customer Considerations REFERENCE PRICES ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-27-2048.jpg?cb=1668442667)
![Customer Considerations PRICE AS A SIGNAL ,[object Object],[object Object],[object Object],[object Object]](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-28-2048.jpg?cb=1668442667)
![General Price Adjustment Strategies ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Psychological Pricing Promotional Pricing Geographical Pricing International Pricing Source: Prentice Hall](https://image.slidesharecdn.com/pricing-110923163052-phpapp01/75/pricing-30-2048.jpg?cb=1668442667)
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Pricing
- 1. Pricing Strategy and Management
- 3. Factors Affecting Pricing Internal Factors Costs Product, Strategy Pricing Decisions External Factors Competitors Customers
- 8. Pricing Considerations PRICE SENSITIVITY Price Quantity Demanded per Period A. Inelastic Demand - Demand hardly changes with a small change in price P 2 P 1 Q 1 Q 2 Price Quantity Demanded per Period P 2 P 1 Q 1 Q 2 B. Elastic Demand - Demand changes greatly with a small change in price
- 9. Product-Based Pricing Approaches Product Line Pricing Setting price steps between product line items i.e. $299, $399 Optional-Product Pricing Pricing optional or accessory products sold with the main product *** i.e. car options Captive-Product Pricing Pricing products that must be used with the main Product***i.e. Razor Blades, Film, Software By-Product Pricing Pricing low-value by-products to get rid of them ***i.e. Lumber Mills, Zoos Product-Bundle Pricing Pricing bundles Of products sold together ***i.e. season tickets, computer makers Source: Prentice Hall
- 15. Cost-Based Pricing COST-PLUS Minimizes price competition Perceived fairness for both buyers and sellers Sellers are more certain about costs than demand
- 29. Customer Considerations VALUE PRICING Cost-Based Pricing Value-Based Pricing Source: Prentice Hall Product Cost Price Value Customers Customer Value Price Cost Product