Flashcards in Chapter 21 Deck (30):
Goals that describe what a firm wants to achieve through pricing.
Adding a dollar amount or percentage to the cost of the product.
Adding a specified dollar amount or percentage to the seller's cost.
Adding to the cost of the product a predetermined percentage of that cost.
Pricing based on the level of demand for the product.
Pricing influenced primarily by competitor's prices.
Charging different prices to different buyers for the same quality and quantity of product.
Establishing a final price through bargaining between seller and customer.
Setting one price for the primary target market and a different price for another market.
Temporary reduction of prices on a patterned or systematic basis.
Temporarily reduction of prices on an unsystematic basis.
Charging the highest possible price that buyers who most desire the product will pay.
Setting prices below those of competing brands to penetrate a market and gain a significant market share quickly.
Establishing and adjusting prices of multiple products within a product line.
Pricing the basic product in a product line low, while pricing related items higher.
Pricing the highest-quality or most versatile products higher than other models in the product line.
Pricing an item in a product line low with the intention of selling a higher-priced item in the line.
Setting a limited number of prices for selected groups or lines of merchandise.
Pricing that attempts to influence a customer's perception of price to make a product's price more attractive.
Pricing a product at a moderate level and displaying it next to a more expensive model or brand.
Packaging together two or more complementary products and selling them at a single price.
Packaging together two or more identical products and selling them at a single price.
Everyday Low Prices (EDLP)
Pricing products low on a consistent basis.
Ending the price with certain numbers to influence buyers' perceptions of the price or product.
Pricing on the basis of tradition.
Setting prices at an artificially high level to convey prestige or a quality image.
Fees set by people with great skill or experience in a particular field.
A product priced below the usual markup, near cost, or below cost.
Advertised sales or price cutting linked to a holiday, a season, or an event.