Marketing Essentials

Section 2: Strategies in the Pricing process

After You Read Online Action

Reviewing Key Terms and Concepts

1. They key factors in determining price lines is the make the price differences great enough to represent low, middle, and high prices for the category of goods being offered.
2. Bundling discourages comparison shopping because it is often difficult to compare one package deal with another because each package deal contains different offerings.
3. Four factors that can help marketers utilize segmented pricing strategies are buyer identification, product design, purchase location, and time of purchase.

Integrating Academic Skills

4. For retailers $21, and for wholesalers $18,90; $35  X .40 = $14; $35 -$14 = $21; $21 X .10 = $2.10; $21.00 - $2.10 = $18.90
5. Answers will vary; factors that would come into play include: tariffs, quotas, monetary exchange rates, and economic and competitive situations in each country. You would also have to determine how much a customer in those countries would be willing to pay.