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This virtually means that the company's reputation could suffer demises.
Telemarketing efforts are often constructed on impulse buys and psychological pricing, such as $19.99 instead of a round $20.00 or a "limited offer" deal in which the price is reduced from $30.00 to $19.99. This context makes the psychological pricing strategy suitable for the company.
4. Product-line Pricing
Advantages:
Sets a single unique price on all products coming from a product line, reducing as such the complexities which come from setting different prices and using differentiated strategies for each product category
Pushes towards the lowest retail price possible and generates as such customer satisfaction. Additionally, through increased consumer satisfaction, higher levels of volume sales are generated.
Disadvantages:
Damages the organizational productivity and profitability
Denies the existence of differences between the products
Forces down the quality of the items by strengthening on the importance of a low retail price
The prioritization of the low retail price on the product line damages the product and the consumer by reducing the quality of other components
Given the nature...
Promotional Pricing
Advantages:
Increases the appeal of customers to the product
Generates high volumes of sales and reduces the amount of time until the breakeven point is reached
Generates positive publicity and familiarizes the customer base with the product
Has the ability to advertise the apparel products and create future demand
Disadvantages:
The benefits the promotional pricing strategy generates are generally short lived
Eventually, a situation can be reached in which the volume of sales and the profitability are only maintained when promotional sales are implemented, but prolonging these prices would subsequently reduce profitability.
In light of the analysis conducted, it becomes obvious that the most suitable pricing strategy to be implemented by the firm is a combination of psychological pricing and differential pricing. These two pricing structures best respond to the unique needs of the company and its features.
International Organizational Structures Companies engaging in global business ideally adopt business structures/models that give a significant competitive edge over other worldwide companies. Four of the major structures/models employed globally focus on Product, Geographic Area, corporate Functions or specific Customer groups (also known as "verticals"). Research shows that specific business adopt one or more of these models based on corporate circumstances and with varying degrees of success. Global Product Structure/Model and Example Global Product
Pricing Strategy and Channel Distribution Pricing Strategy . Pricing Tactics Legal and Ethical Issues Related to the Pricing Tactics .… Marketing Distribution Channel Analysis Distribution Strategy Fitting Marketing Objectives & #8230 In this case, Atlantic Computers has a plethora of various pricing strategies available to use for its interesting new server. The server has a unique software component which if it is installed with the server as a package then the server becomes extremely more productive
Company audit occurs when there is need to examine the performance of a big company especially the financial and the accounting records over a given period of time. Professionals such as the certified public accountant always do the auditing. The audit of a company is significant in the verification of accuracy particularly in the accounting records. A company like coca cola will need an audit to help in verifying their
Pricing Strategies Price and cost variables are not fixed. At times, there are some fixed elements to these costs but in many instances these costs are subject to fluctuation. These fluctuations can derive from changes in buying power, changes in commodity prices and other considerations. Likewise, forces in the external environment can bring about changes in the prices the firm can charge. When uncertain variables are fixed, the company can find
Pricing Strategy and Distribution Build-to-Order Netbook Marketing Plan Pricing and Channel Distribution Strategies The two most critical aspects of any marketing strategy are the pricing and distribution strategies, as they both underscore the branding, unique value proposition and position of products. Both have an immediate and multiplicative effect on the profitability and revenue growth of a product line and long-term, to an entire business. The intent of these sections of the marketing plan
From a supply chain standpoint, pricing departments must also create a high level of communication and collaboration across a business as well. Their role is to be the orchestrators of internal effort to manage suppliers to pricing and margin levels, ensuring consistency and focus on share goals. This is one of the primary reasons pricing has now become a strategic initiative within many businesses. For change to occur in