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This pricing strategy completely ignores market forces and sets a price based upon what the firm hopes to make assuming it will sell the projected quantity of product

Management Sep 26, 2020
  1. This pricing strategy completely ignores market forces and sets a price based upon what the firm hopes to make assuming it will sell the projected quantity of product.
  2. This approach to an issue is reactive. It waits for something to occur and then one tries to figure out what to do.
  3. This opportunity in the market is caused by the supplied service level being either more or less than required.
  4. The set of product features, advantages, and benefits the customer believes the product will provide.
  5. A fee charged by the retailer to the manufacturer for a product not reaching a minimum sales target within a specified period of time.
  6. This generally refers to a firm with a strategy to consistently be the second to market with a product/service offering.
  7. This refers to sales employees of the firm that are responsible to selling directly to the ultimate consumer.
  8. This generally refers to a firm with a strategy to bring a product/service offering to market after the market has developed to some extent.
  9. Sometimes called a functional discount, this is offered to intermediaries that perform certain functions [record keeping, selling, storing, ...].
  10. With this pricing strategy, a firm generally bases its prices on what its most direct competitors are doing.

Expert Solution

  1. Cost-Plus Pricing

This pricing strategy completely ignores market forces and sets a price based upon what the firm hopes to make assuming it will sell the projected quantity of product.

  1. Defensive System

This approach to an issue is reactive. It waits for something to occur and then one tries to figure out what to do.

  1. Demand-Side Gap

This opportunity in the market is caused by the supplied service level being either more or less than required.

  1. Expected Product

The set of product features, advantages, and benefits the customer believes the product will provide.

  1. Failure Fee

A fee charged by the retailer to the manufacturer for a product not reaching a minimum sales target within a specified period of time.

  1. Fast Follower

This generally refers to a firm with a strategy to consistently be the second to market with a product/service offering.

  1. Field Sales Force

This refers to sales employees of the firm that are responsible to selling directly to the ultimate consumer.

  1. Market Follower

This generally refers to a firm with a strategy to bring a product/service offering to market after the market has developed to some extent.

  1. Functional Allowance

Sometimes called a functional discount, this is offered to intermediaries that perform certain functions [record keeping, selling, storing, ...].

  1. Going-Rate Pricing

With this pricing strategy, a firm generally bases its prices on what its most direct competitors are doing.

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