MARKETING QUESTIONS

Marketing Questions

Marketing Questions

Question 1

The pricing strategy is to help achieve the goal of the company and ah to take into account the type of product lines, competition and the novelty of the product, the more innovative the product is greater price alternatives (Daniasa, Tomita, Stuparu & Stanciu, 2010). The prices are trying to capitalize on potential competitive situations by setting prices equal to, higher or lower than the sector, according to the technological advantages, costs, production or distribution that are available. Dominant companies can exercise their leadership, while the weaker followers will have to act.

If the company offers superior quality products to the rest of the competitors or provides complementary services, may set higher prices (price premiums). A strategy of low prices (discounted price) may involve a product of lower quality or infer additional services, but not necessarily, because the company can take advantage of technology, manufacturing. you can sell at lower prices (Kaplan & Haenlein, 2011). In distribution we can find both types of strategies (for example: Gucci stores in the first case and discount shopping day in the second). An extreme case of low prices it is selling at a loss for promotion or to eliminate competition, in the latter case is forbidden.

They are based on how the market perceives the level of prices and the consumer association that does the same with the characteristics or attributes of the product. The price of a common consumer product, involving an outlay reduced, can become a customary or usual price, which share all or most of the brands. This price is associated with the existing coins and can be difficult to change (Katona, Zubcsek & Sarvary, 2011). A high price associated with a product or service quality, Prestige Company that wants to be pricing their products high, this strategy will be effective prestige price that the consumer always somehow perceived superiority of such products. A price usually rounded up, gives the impression that it is a product or service senior or prestige. By contrast an odd price is associated with a lower price, and may be appropriate for products or services do inferior.

The price on perceived value does not take into account the cost of the product component if the value assigned by the consumer to the utility that brings the satisfaction provided by a good or service. Perceived value includes the acquisition value (expected profit by buying less what you pay for it) and the transaction value (perceived merits of supply and quality of service). For example, we do not value the salad as a popular restaurant that one of 5 forks, although it can be very similar. The perceived value sets the upper limit of the price (I-Ping & Chung-Hsien, 2011). The reference price is a standard price against which consumers compare the actual prices of products whose purchase consideration. May be based on previous prices or other brands. The lowest is an important reference. The internal reference price buyer is influenced by external ...