Week 6 Homework - Chapter11,questions1,2,7and12andCase11.1...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 11, questions 1,2, 7 and 12 and Case 11.1 1. What is the meaning of price? Contrast the basic price mix with the price promotion mix. Price is the amount of money a buyer pays to a seller in exchange for products and services.  Price is the one aspect of  the marketing mix that is most easily changed. The basic price mix includes components that define the size and means of  payment exchanged for goods and services such as list price, usual terms of payment and terms of credit. The price  promotion mix includes supplemental components of price, which aim at encouraging purchase behavior by  strengthening the basic price mix during relatively short periods.  2. Why are pricing decisions so important? What are the effects of setting prices too low? Too high?  Pricing decisions are so important because they are influenced by the five C’s of pricing, costs, customers, channels of  distribution, competition and compatibility, but Costs determine the minimum level of prices. These decisions must also 
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern