MGTA02H3 Chapter 7: Chapter 7 Textbook Notes
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MGTA02H3 Full Course Notes
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Chapter 7: pricing and distributing goods and services. Price is an important part of the marketing mix because it influences both consumers demand for a product and company profitability. Pricing is deciding what the company will receive in exchange for its product. Companies price products in order to maximize profits as well as attaining other pricing objectives (goals that producers hope to attain in pricing products for sale. E. g. dominating the market, surviving in the marketplace, social and ethnical concerns etc) Therefore, firms set prices to sell the number of units that will generate the highest profit. In calculating profits, managers must weigh receipts with the costs for materials/labour to create the product. As well as the capital resources (equipment) and marketing (staffs) Marketers pricing for sales on the internet must consider different kinds of costs and different forms of consumer awareness.
