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Unformatted text preview: CHAPTER 12 NOTES Pricing - Price= know definition and difference between cost Barter- known as something other than money- used to be known as the land of the cheap tradersbut last 20-30 years US has moved away from bartering. o US is not comfortable with is but international places are o We still see bartering in the business community o Houses kind of known for bartering Cars a little bit but not really o Other countries like seeing US come into their country to barter because they know we aren't comfortable with it. Perceived values might not match what others are willing to pay. o Value = Perceived benefits/price o Value is determined by the costumer. Customers don't dictate the price though. FOUR APPROACHES FOR SELECTING AN APPROXIMATE PRICE LEVEL Skimming: Gillette Fusion, Apple o Recovery costs Penetration : Wii Prestige : Chanel , Louis Vuitton, Apple o Paying a premium Odd-even pricing: $500.00 vs. $499.00 GENERAL PRICING APPROACHES: DEMAND-ORIENTATED PRICING APPROACHES Target pricing: Cameras...
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This note was uploaded on 02/09/2012 for the course MKT 327 taught by Professor Forest during the Fall '09 term at Michigan State University.
- Fall '09