ENTREPRENEURIAL MARKETING
PRICING STRATEGIES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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category; perception
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total production; positioning
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cost; analysis
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cost; competition
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Detailed explanation-1: -Premium Pricing Strategy Small businesses that sell goods with unique properties are better able to use premium pricing. To make premium pricing palatable to consumers, companies try to create an image in which consumers perceive that the products have value and are worth the higher prices.
Detailed explanation-2: -A loss leader strategy prices a product lower than its production cost in order to attract customers or sell other, more expensive products. Loss leading is a controversial strategy that is considered predatory.
Detailed explanation-3: -In a nutshell, cost based pricing is a pricing strategy in which a company adds a markup to the price of a product over the cost of production and manufacturing. The strategy often involves adding a fixed percentage added on top of production costs for one unit.