Module 4. #2.docx - Valeria Mayorga E-Commerce Professor...

Valeria Mayorga
E-Commerce
Professor David Lantz
Sunday, November 13
th
, 2022
Among many strategies, these are the top 5 pricing strategies that acre commonly used in
E-commerce:
Cost-based pricing: this strategy is also known as ‘markup pricing’ breakeven pricing’
or ‘cost-plus pricing’. This strategy is based on the calculation of creating a price value based on
the total cost of making a sale plus adding a profit margin desired to make . This pricing strategy
is quite price to execute, due to the fact that the companies are running the risk to hit a price line
that customers are not willing to pay but at the same time, if this is executed well, it can be come
an stable and profitable business. (Dearth, 2022)
Competition-based pricing: this stray is based in aiming to offer better prices than other
potential competitors. This strategy will take extra time and effort to be constantly monitoring
others pricing and efforts and based on that make decisions. A risk that this strategy could take is
that it is not ensured that these prices will be profitable for every company, while others can have
a lower market prices and others higher, they do not have the same operational expenses within