MKT 100 Lecture Notes - Lecture 10: Price Floor, Advanced Vector Extensions, Geographical Pricing

• School: Ryerson University
• Department: Marketing
• Course: MKT 100
• Professor: Fathima Saleem

Document Summary

Lecture 10 chapter 11: pricing concepts and strategies; establishing value. Price is the only element of the marketing mix that generates revenue; it is half of the value equation ((cid:1864)(cid:1873)(cid:1857)= (cid:3045)(cid:3032)(cid:3030)(cid:3049)(cid:3032)(cid:3031) (cid:3003)(cid:3032)(cid:3041)(cid:3032)(cid:3033)(cid:3047)(cid:3046) (cid:3004)(cid:3042)(cid:3046)(cid:3047)(cid:3046) what he or she receives. The most important factor when pricing is how the customer views the price in relationship to. Marketers should view pricing decisions as a strategic opportunity to create value rather than as an afterthought. The five cs of pricing: company objectives, each firm has a different goal; walmart is everyday low prices, holt renfrew is high prices equal high fashion image, some common company objectives include: Sales orientation increasing sales will help the firm more than will increasing profits. Competitor orientation the firm should measure itself primarily against its competition. Some firms use comparative parity where they set prices relatively close it competitors.