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Alternative Long-Run Pricing Approaches Homework Help

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Alternative long-run pricing approaches homework help expert is the right guide to follow for knowledge in costing and pricing. Costing and pricing both are quite important issue in the field of business. To determine a perfect price level of a product which can exists for a quite long period in the market is not a very easy job.

Several factors are there, that can affect hugely on this determination such as:

  1. Internal factors
  • Management stuffs,
  • promotion and distribution of the product,
  • Utility and quality of the product in comparison to other similar products from close competitors.
  • internal cost
  • Goodwill of the brand name.
  • Volume of market share
  1. External factors
  • Market demand of the product
  • Customers liking disliking
  • Competitor’s strategy
  • All material costs
  • Economic situation
  • Government policy
  • Seasonal and festival effects.

Several strategies to follow

Several pricing process are there in this field of business they are quite effective and authentic. Main focus of this method is, to meet the sales target, to cope-up with this competitive market and to maximize the profit level. So, these processes are:

  1. Pricing on the basis of production cost

In this process, pricing decision is taken on the basis of total manufacturing cost and marketing expenditure.This process guarantees about recovery of total cost amount with maximum profit.  For more learning about this subject topic, you may get in touch with our alternative long-run pricing approaches assignment help for doing your best ever project.

  1. Pricing on the basis of product value

This kind of pricing decision is taken on basis of, how customers do the valuation of a product through its quality and utility.

  1. Pricing on the basis of market competition.

It is a process which based on the competitors piecing level for the same kind of product to do the proper pricing. It is suggested for the market where lots of competitors exist.This method mainly focuses on analysis of several data information whichiscollected from the market.

  1. Pricing due to penetration

Often for a new product, an introductory low price is fixed in the initial stage.  Due to this low price the product becomes popular swiftly amongst the customer. Later when it is established perfectly in the market then manufacturer fixes it on the higher price.

  1. Pricing to skim the cost

Sometime manufacturer fixes a product with a quite high price and do its promotion mainly for elite class who has no botheration about their expenses. So they can easily afford it and thus the total production cost is recovered quickly. After that the authorizer fixes it in a low price.

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