Exam 13: Pricing Products and Services

What are discounts? List the four kinds that are especially important in marketing strategy.

Sears sets their prices to achieve a 19 percent profit margin on forecasted 2015 sales of $25.8M. This is an example of:

Which of the following is a typical example of a fixed cost?

The prices for all fruit trees sold in Stark Bro's fruit trees and landscaping catalogue end in $.99. Stark Bro's uses:

Because the guitars made by Washburn Guitars (very well-known brand with musicians)are endorsed by internationally known musicians, the owner of the company believes this reduces the price elasticity for the guitars. This means that:

When Radiohead launched their 'In Rainbows' album online, they allowed consumers to download it for free or download it for a donation the consumer set themselves. This type of pricing is referred to as:

In which step of the price setting process would a new product manager be deciding whether to adopt a penetration or a skimming pricing strategy for a new product she is about to introduce to the market?

The pricing model in your text, has six distinct steps in the pricing process. Considering the following list of steps in setting prices: identify pricing constraints and objectives; estimate demand and revenue; estimate cost, volume, and profit relationships; select an appropriate price level;__________ ; and make special adjustments to the list or quoted price.

For precision shooting competitions, Leupold & Stevens, Inc., Canadian manufacturers of rifle scopes, introduced a revolutionary new patented optical system. Competitions are won by hundredths of an inch, so the image seen through the scope is crucial. That's why the Leupold rifle scope with its new optical system is designed to offer an image that is crisp, sharp, flat, and second to none in image contrast. The initial price of the Competition Series scope will be $1,605.40. Which pricing strategy will best attract price-insensitive customers and help Leupold & Stevens recoup its research and development costs?

The competitive situation of many national, regional, and private label brands of peanut butter is likely one of a(n):

Using feedback from social media, companies can 'test the waters' with proposed price increases to avoid:

Offering social media discounts for users who tweet a certain hashtag, repost a picture, or email an offer out to ten friends can help a company:

To promote their business, some psychics advertise free tarot card readings and other insights into their customers' futures on television. Unfortunately, this "free reading" has cost some unsuspecting callers as much as $700 in phone charges. This sort of deceptive pricing practice would be monitored by the:

Katherine was shopping for a new pair of sunglasses. While in The Bay department store in the shopping center, Katherine visited the optical department. Here she found a pair of Oakley brand sunglasses that she considered very attractive. However, the price of $225 was more than she expected to pay for sunglasses and asked the salesperson why the glasses carried such a high price tag. The salesperson informed Katherine that the $225 ensured her of the finest quality glasses featuring ultra-strong titanium frames and specially formulated lenses, which would protect Katherine from all harmful UV and blue light. Finally, the lenses would offer optimum optical clarity, and the glasses would "look great" on Katherine. The salesperson was attempting to help Katherine realize the value offered by the Oakley glasses by:

Demand for a product is likely to be more price elastic if:

The pricing model in your text, has six distinct steps in the pricing process. Considering the following list of steps in setting prices: identify pricing objectives and constraints; estimate demand and revenue; determine cost, volume, and profit relationships; select an approximate price level; set the list or quoted price; and ________.

How can implementing a social media program be beneficial for a company?

How many HDTV units has VIZIO sold since it began in 2002?

At a price of $3 each, SHAPE magazine sells 1.25 million copies of its magazine targeted to young women seeking a healthier lifestyle. If the price per issue is increased to $3.25 each, only 1 million copies will be sold. For the information provided, the price elasticity of demand for SHAPE magazine in this price range can be described as:

What is the main factor that has led to the fact that consumers may not necessarily view lower priced products as lower priced?