Explore BrainMass
Share

Psychological Pricing

This content was STOLEN from BrainMass.com - View the original, and get the already-completed solution here!

Cite a local example of psychological pricing and evaluate whether it makes sense.

How does prestige pricing fit into the marketing mix? Would exclusive distribution be necessary?

Distinguish between sales analysis and performance analysis.

Carefully explain what the iceberg principle should mean to the marketing manager.

Please provide detailed answers!

© BrainMass Inc. brainmass.com October 17, 2018, 10:40 am ad1c9bdddf
https://brainmass.com/business/warrant-pricing/psychological-pricing-513502

Solution Preview

Step 1
An example of local psychological pricing is by Queen of Cakes in Minnesota. This local retail firm charges premium prices for Custom Decorated cakes. It also sells unique 3-D and Cut-Out Cakes. The pricing is on the higher side. The pricing does not appear to be related to the cost of cakes. The charging of high prices makes sense because it creates an impression that the cakes are really special.

Step 2
Prestige pricing is part of 'Pricing' in the marketing mix. Price is a variable that can be changed by the marketer and the high ...

Solution Summary

This posting gives you a step-by-step explanation of Psychological Pricing. The response also contains the sources used.

$2.19
Similar Posting

Entrepreneurs

I need help gathering ideas and writing my final. I only need around 300 words for each of the 3 question blocks. My final paper is a 4500 word paper about starting a construction company.

1. Why is it important for entrepreneurs to define and identify who their customers are? What strategies do entrepreneurs use to determine customer needs and wants? Be specific, using resources, concepts, information and cites from the course text.

2. What are benefits of entrepreneurs conducting market research? Provide examples of market research strategies used in your current business/organization or one with which you are familiar. If you are not sure what they might use, make some educated guesses given the reading and discussions on market research and apply it.

3. Choose a product with which you are familiar and describe strategies an entrepreneur would use when setting the product's price for retail. What objectives must entrepreneurs try to achieve when setting product prices? What types of things must they consider? Back up your response with information from the text reading, handouts, articles, etc.

4. A brief summary of questions 1-3

View Full Posting Details