Marketing
Pricing Strategies
The pricing of a product or service is an important aspect of the marketing mix. The pricing of a product will need to be set at a level that will support the firms' long-term profitability; even were there are short-term market penetration strategies or loss leading prices, the ultimate aim of the firm is for the generation of revenues and creation of profit. The pricing strategy chosen by a firm will depend on a number of factors; these will include the market conditions and strategies of the competing or complimentary products, as well as the level of differentiation and the market position that the firm us seeking to gain (Kotler and Keller, 2011). Two examples may be used to assess the way pricing strategies may be formulated; a media distributor and aspirin.
Media Distributor
A media distributor, such as NetFlix or Love Film, has a limited amount of overheads. The media is streamed through the Internet, which means there is a very low marginal cost per customer. One of the main costs associated with the distribution of the media will be the costs associated with gaining a license, which is usually based on the granting of a license for a specific period, regardless of how many of the users access material.
The pricing strategy for media distribution is likely to be undertaken through market orientated pricing. In a market orientated pricing strategy there is an examination of the target market, and the marketplace itself. The target market are examined in order to determine the level of disposable income, the amount they are likely to be prepared to pay for a particular good or service. Consideration...
Marketing Pricing Strategy There are different approaches to pricing strategy. The pricing strategy should fit within the context of the overall marketing strategy. Among the different options for pricing strategy are revenue maximization, profit maximization, survival, skim pricing, and penetration pricing (NetMBA, 2010). There are also approaches such as cost-plus that take into account the company's cost structure but in a competitive marketplace it is more normal that the pricing strategy reflects
Marketing Branding strategies are key to a company's success. Levi-Strauss must take care not to sully its reputation by jumping into a new line of business attire. The proposal to create a new line of Levi-Strauss office clothes is flawed. The following consulting report outlines the reasons why the company must change its approach towards developing a new line. Branding strategies are key to a company's success and why the Levi-Strauss name
Conversely the partnerships of open source databases vendors including MySQL and others have created a strong alliance that has forced Microsoft's SQL Server database team to create customized connectors for these open source applications. Open source, first the subject of an encirclement strategy, is now implementing its own on Microsoft's operating system business. The Linux operating system is now pre-installed on many of the world's leading hardware manufacturers' laptops,
marketing strategy direct marketing pricing activities strategy/Project improved duration . Make grader identify sections revised, (e.g. Track Changes feature Word). OVERALL COSTS The creation and delivery of the organizational service is linked to a wide array of costs, all of which are incurred in the organizational processes and operations. The more pertinent of them include the following: Costs with the commodities, including the usage of the personal laptop and other desktop features Costs
Communication objectives can help by first focusing the company's efforts on a specific market and its unique needs, and the specific products of interest. In seeking out this connection of customers to products, IMC strategies have a higher potential for success. 3. In the case, BatesManor Furniture, inc (a), what is the purpose and role of advertising, promotion, and personal selling in the household furniture industry? The furniture industry is one
Samsung Console Marketing Pricing of the SamsunG console will be based on the pricing for competitive consoles. As noted, there are three main rival companies, offering a range of different console options. Kotler and Keller (2007) point out that the price of competing products is one of the most important drivers of the price of any new product. There are a number of pricing strategies for market entry -- penetration pricing
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