PPT-CHAPTER 8 Pricing Decisions,

Customer Profitability Analysis and ActivityBased Pricing Slide 8 2 Pricing Decisions Pricing decisions are often the most difficult decisions that managers face Pricing decisions examined in this chapter include. All pricing shown is FOB destination San Diego and vicinity Typical delivery and assembly is 150 Computer Desks Computer Desks RETAIL PRICE LIST 0109 e 1531 Pacific Highway San Diego CA 92101 mail salesspacesandiegocom Tel 6192370727 57527 Fax 61923 How Optimization Can Deliver Ideal Pricing Strategies for Higher Revenues and Margins. Horia. Tipi. Director, Product Management. FICO. Be smarter about pricing—stop leaving money on the table—out-maneuver your competitors. Governments sometimes choose to produce goods and services and charge a price for those goods and services. Pricing decisions and investment decisions sometimes go hand in hand. . For . example, government might want to evaluate whether to build a dam that produces electricity. The benefits and costs of the project will depend on how the electricity is priced. If this is not priced optimally then can get a misstatement in NPV and can also get output that might not be socially optimal level (either larger or smaller). Pricing Process. Step 4: Select an Appropriate Price Level. Demand-Oriented . Cost-Oriented. Profit-Oriented. Competition-Oriented. Demand-Oriented. Price Skimming. Penetration Pricing. Prestige Pricing. Pricing Process. Step 4: Select an Appropriate Price Level. Demand-Oriented . Cost-Oriented. Profit-Oriented. Competition-Oriented. Demand-Oriented. Price Skimming. Penetration Pricing. Prestige Pricing. 10: . Product, Branding, and Packing . Concepts. 11: . Business Markets and Buying Behavior. 12: . Developing and Managing Prices. 13: . Marketing Channels and Supply-Chain . Management. 14: . Retailing, Direct Marketing, and Wholesaling. Chapter 20. 1. Learning Objectives. 2. Describe and identify information relevant to business decisions. Make special order and pricing decisions. Make dropping a product and product-mix decisions. Make outsourcing and sell as is or process. Pricing Strategies. New-Product Pricing Strategies. Product Mix Pricing Strategies. Price Adjustment Strategies. Price Changes. Topic Outline. New-Product Pricing Strategies. Market-skimming pricing. Why do AT&T and Verizon Wireless charge me $10 a GB? . Our Cell Phone Bill. Data charges . make up a significant part of our cell phone bills . The . data plans . in our . cellular. . contracts. PART 7. Pricing Decisions. Chapter 18. Pricing Concepts. Copyright ©2017 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.. Learning Objectives. Learning Objective 15.1 . Identify three methods that firms use to set their prices.. Learning Objective 15.2. Describe the difference between an everyday low pricing (EDLP) strategy and a high/low strategy. . ?. Pricing . is a marketing function in which both a buyer . and. a seller . perceive the . most favorable value . for a good or service. 2. Price– You get what you pay for…. What does that phrase mean to you?. Dr. . Pravin. Kumar . Agrawal. Assistant Professor. Department of Business Management. PhD (Finance). Arbitrage. The act of exploiting the price differences in a financial asset in different markets to make profits by simultaneously purchasing at a low price in one market and selling the same asset at a higher price in a different market. . How will your business make money?. Why is pricing an important decision for startups?. What is the link between prices and revenue?. Every firm needs a revenue strategy.. Profits = Revenue – Costs.