BIOL376 Chapter Notes - Chapter 7: Warehouse Club, Price Skimming, Pricing Strategies
Document Summary
Business chapter #7 notes pricing and distributing goods and. Consumers want products that satisfy their needs, and they want them to be available in the right places, but they also look aggressively for the lowest prices possible. In pricing, managers decide what the company will receive in exchange for its products. Companies often price products to maximize profits, but they also hope to attain other pricing objectives when selling their products. Some firms want to dominate the market or secure high market share. Pricing decisions are also influenced by the need to survive in the marketplace, by social and ethical concerns, and even by corporate image. If prices are set too low, the company will probably sell many units of its product, but it many miss the opportunity to make additional profit on each unit. An may in fact lose money on each exchange.
