Management and Organizational Studies 2320A/B Chapter Notes - Chapter 11: Marketing Mix, Groupon, European Cooperation In Science And Technology

• School: Western University
• Department: Management and Organizational Studies
• Course: Management and Organizational Studies 2320A/B
• Professor: John White

Document Summary

Chapter 11: pricing: key part of the value proposition, success depends on reaching a wide audience of interested consumers with a deal that can"t be ignored, ex. Nonmonetary: value of the time necessary to acquire the product or service. Company objectives: each firm embraces an objective that fits with where management thinks the firm needs to go to be successful, reflect how the firm intends to grow. To meet this targeted profit objective, firms use price to stimulate a certain level of sales at a certain profit per unit: maximizing profits strategy: relies primarily on economic theory. Sales orientation: sales orientation: increasing sales will help more than increasing profits, ex. Although the concept of value is not overtly expressed in sales-oriented strategies, it is at least implicit because for sales to increase, consumers must see greater value. Customers: most important because it is about understanding consumers" reactions to different prices, price is half the value of the equation.