It is important to develop an overall pricing philosophy in your business. This begins with the ability to calculate the relationship between costs and sales. There are two methods, cost/price, demand/price Which would you use in your business, and why?

Pricing is a critical component of any company’s strategy.  Discuss some of the pricing strategies that a company might employ under various circumstances.  Examples are allowable, following your discussion of the strategies.  Ensure that you also discuss: Fixed and variable costs The nature of demand Economies of Scale

First review the topics below and select one. Once selected, include the concept, a description of the concept, and what about the concept you understand and what it is about the concept that can be confusing.  How pricing objectives should guide strategy planning for pricing decisions. Setting the price level for a product in the early stages of the product life cycle. Variations of a price structure, including discounts, allowances, and who pays transportation costs. The role of price in obtaining a competitive advantage by offering target customers superior value. The legality of price-level and price-flexibility policies. How most wholesalers and retailers set their prices by using markups. Advantages and disadvantages of average-cost pricing. How to use break-even analysis to evaluate possible prices. The advantages of marginal analysis and how to use it for price setting. Demand-oriented factors that influence price setting. Elements of the marketing strategy planning process…

What is the concept of cost-of-service pricing? What is the difference between value-of-service and cost-of-service pricing?