Asked by Daria Matvienko on Jun 23, 2024
Verified
In the process of setting price, a marketer must first identify pricing objectives and constraints. Next, in Step 2, three specific estimates are necessary. What are they?
Pricing Objectives
Objectives that guide how a company sets the prices of its products or services to achieve specific business goals.
Pricing Constraints
Factors that limit the flexibility of setting prices, including costs, competition, customer perception of value, and regulatory requirements.
- Comprehend the significance of pricing objectives and limitations in the determination of prices.
- Understand and apply the process of price setting, including the identification of pricing objectives and constraints.
Verified Answer
FI
Fatima Iyarit MaltezJun 28, 2024
Final Answer :
The three key items in Step 2 are demand estimation, sales revenue estimation, and price elasticity estimation. See Figure 13-2.
Learning Objectives
- Comprehend the significance of pricing objectives and limitations in the determination of prices.
- Understand and apply the process of price setting, including the identification of pricing objectives and constraints.