Pricing Strategy and Consumer Behavior
Not what you're looking for?
Questions
1.Which pricing strategies should not be pursued by companies? Why? Give a contemporary real life example of each of these pricing strategies.
2.What is meant by "reservation prices"? Which complex relationships need to be considered when pricing is viewed from this perspective?
3.What is a penetration price policy? What is a skimming price policy? Give a contemporary real life example of both policies.
4.Give the four types of consumer costs and explain.
5.What is the most common objective of pricing? Why?
Purchase this Solution
Solution Summary
Pricing Strategy and Consumer Behaviors are noted.
Solution Preview
1. Which pricing strategies should not be pursued by companies? Why? Give a contemporary real life example of each of these pricing strategies.
Some of the pricing strategies should not be pursued by companies because they are considered illegal or because they are perceived as unfair by customers. They can also seriously affect the long-term performance of a firm. These strategies are:
1. Price fixing: Conspiring with competitors to fix prices (e.g. cartel).
2. Deceptive pricing: These are the pricing practices that mislead consumers (e.g. marketing items with a fictitious price, crossing this price out and then putting on the normal price as though it were a bargain).
3. Predatory pricing: Setting prices low to drive ...
Education
- BSc, Dokuz Eylul University
- MBA, Texas A&M University-Kingsville
Recent Feedback
- "Thanks"
- "Thanks"
- "This is a great help...Thank you"
- "Thanks for the advice!"
- "Oh my gosh u are awesome... A++"
Purchase this Solution
Free BrainMass Quizzes
Basic Social Media Concepts
The quiz will test your knowledge on basic social media concepts.
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.
Marketing Management Philosophies Quiz
A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.
MS Word 2010-Tricky Features
These questions are based on features of the previous word versions that were easy to figure out, but now seem more hidden to me.
Business Processes
This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.