Exam 10: Pricing Strategies: Understanding and Capturing Customer Value

Amos Zook,an Amish farmer,sells organically grown produce.Often he will trade some of his produce for dairy products produced by other Amish farmers.The sum of the values exchanged for the produce is the _ .

The learning curve is also referred to as the .

Explain the strategy of high- low pricing.

In industrial markets,typically has the final say in setting the pricing objectives and policies of a company.

Prices have a direct impact on a company's bottom line.

SRAC is the acronym for which concept related to costs at different levels of production?

When faced with price competition,cutting prices is often not the best answer.

Which of the following is a cost- based approach to pricing?

The long- run average cost curve (LRAC)helps the producer understand which of the following?

By pledging to be a leader in providing clean,renewable energy sources and developing products and services that help consumers protect the environment,Green Mountain Power competes successfully against "cheaper" brands that focus on more price- sensitive consumers.Green Mountain Power has the firm belief that even kilowatt- hours can be .

Using value- based pricing,a marketer would not design a product and marketing program before setting the price.

A company faces fixed costs of $100,000 and variable costs of $8.00/unit.It plans to directly sell its product to the market for $12.00.How many units must it produce and sell to break even?

is the amount of money charged for a product or service.

Some companies have adopted a(n)strategy,offering just the right combination of quality and good service at a fair price.

Overhead cost is another term for fixed cost.

Under ,the market consists of one seller.

are the sum of the _ and for any given level of production.

The less the demand,the it benefits the seller to raise the price.

Target return pricing is used when a firm tries to determine the price at which it will break even or make the profit it is seeking.

Price setting is usually determined by in small companies.