Marketing Firm Pricing Decision

Identify and explain 5 factors that normally influnece a firms determine decision with appropriate examples. Internal factors * world(a) grocerying strategy, objetives, and assortment Price is only one element of the trade unions broader marting srategy. Thus, before repairting equipment casualty, the connection must(prenominal) decide on its overrall marketing strategy for the products or services. If the confederation has selected its target marketing and positioning c befully, then its marketing mix strategy, including price, testament be fairly straightforward. For example, Toyota developed its Lexus brand to vie with European luxury-performance cars in higher-income segment, this required charging a high price . * Organizatinal consideration focus must decide who within the organazational should practise prices. Companies cover up pricing in a variety of ways. In little companies, prices are often set by top caveat rather than by the ma rketing or sales departments. In the large companies, pricing is typically handled by divisional or products line manager. For example, Air-Asia or some cheaper air-lines companies they can dicide their price. So, they can set lower price to compete with the large air-line companies.

External factors * The market and demand Goos pricing starts with an generaliseing how customres preceptions of lever affected the prices they are unstrained to pay. Thus, before put prices, the marketer must understand the relationship between price and demand for the company product. * Competitors strategies and prices In linguistic context its prices, the company must consider competi tors costs, prices and market offerings. Con! sumer will prime on their judgments of a products value on the pricesthat competitors charge for similar products. * Other external factors Whe setting prices, the company also must consider a weigh of others factors in its external enviroment. economic cinditions can have a unattackable impact on the firms pricing strategies. Economic factors...If you want to get a full essay, rate it on our website: OrderEssay.net

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