Pricing Policy and Strategy - Research Article from Encyclopedia of Management

This encyclopedia article consists of approximately 9 pages of information about Pricing Policy and Strategy.
This section contains 2,557 words
(approx. 9 pages at 300 words per page)
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Pricing Policy and Strategy

Managers should start setting prices during the development stage as part of strategic pricing to avoid launching products or services that cannot sustain profitable prices in the market. This approach to pricing enables companies to either fit costs to prices or scrap products or services that cannot be generated cost-effectively. Through systematic pricing policies and strategies, companies can reap greater profits and increase or defend their market shares. Setting prices is one of the principal tasks of marketing and finance managers in that the price of a product or service often plays a significant role in that product's or service's success, not to mention in a company's profitability. Generally, pricing policy refers how a company sets the prices of its products and services based on costs, value, demand, and competition. Pricing strategy, on the other hand, refers to how a company uses...

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This section contains 2,557 words
(approx. 9 pages at 300 words per page)
Buy the Pricing Policy and Strategy Encyclopedia Article
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Encyclopedia of Management
Pricing Policy and Strategy from Encyclopedia of Management. ©2005-2006 Thomson Gale, a part of the Thomson Corporation. All rights reserved.
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