Flashcards in 4th Six Weeks Deck (35)
This involves setting prices for your products that will guarantee you'll make money on each sale.
The process of selecting strategic price points to best take advantage of a product or service based market relative to others.
The extent to which a product is recognized and bought by customers in a particular area.
A product pricing strategy by which a firm charges the highest initial price that customers will pay and lowers it over time.
This includes direct labor, direct materials, consumable production supplies, and factory overhead.
The total satisfaction received from consuming a good or service.
The rivalry between companies selling similar products and services.
Competition in a market
Laws that control the way that a business can operate.
Government and Legal Regulations
The goals that guide your business in setting the cost of a product or service to your existing or potential consumers.
Higher-priced product promotion that normally centers more on product benefits or other aspects that increase the customer's experience.
A financial gain, especially the difference between the amount earned and the amount spent in buying, operating, or producing something.
The practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price.
Products sold under generic brands where marketing and production costs have been kept to a minimum.
The practice of setting prices slightly lower than rounded numbers, in the belief that customers do not round up these prices, and so will treat them as lower prices than they really are.
Deciding the amount required as payment for something.
The act of placing several products or services together in a single package and selling for a lower price than would be charged if the items were sold separately.
A price-setting strategy where prices are set primarily on a consumers' perceived value of the product or service.
Value Based Pricing
A conspiracy between business competitors to set their prices to buy or sell goods or services at a certain price point.
An illegal practice in which competing parties collude to choose the winner of a bidding process while others submit uncompetitive bids.
The action of selling the same product at different prices to different buyers, in order to maximize sales and profits.
Pricing above what can be sustained in a competitive market.
Supra Competitive Pricing
The practice of charging more for a product or service during periods when it is in high demand.
The practice of varying the price for a product or service to reflect changing market conditions, in particular the charging of a higher price at a time of greater demand.
The action (generally illegal) of advertising goods which are an apparent bargain, with the intention of substituting inferior or more expensive goods.
Bait and Switch
When a business never actually sells their items for more than their sale prices.
Fake Sale Pricing
Includes a sender, encoding of a message, selecting of a channel of communication, receipt of the message by the receiver and decoding of the message.
Process of Communication
Satisfying the need.
To sell the products.
One of the 4 Ps of the marketing mix.