Pricing Concept & Strategies: Larsen & Turbo(L&T)In this week’s topic regarding concepts and strategies utilized by various companies to define their pricing concepts, I will base my analysis on the engineering and construction sector, my main focus will be on Larsen & Turbo companies, mostly regarded as T& L companies. Larsen & Turbo is an engineering, construction, and procurement company based in India. I will therefore discuss how L&T have formalized their pricing strategy in their recent advert that has seen the company soaring higher above its key competitors amid the increasing customer perception. This link shows how the company has evolved its pricing strategy through its marketing mix. Many companies have resolved in using pricing strategies to outdo their competing allies. This method involves two types of pricing control including penetration and skimming. In penetration, the company attracts many customers to its new products or services by providing a low price compared to other companies. In the skimming mode, the company markets its products at higher prices with relatively greater margins. The skimming strategy focuses on innovative and luxurious products where the innovators of the technology have the monopoly of determining its prices of the commodities. The pricing strategy that has been applied by T& L company in outdoing its key competitors involves a penetration-pricing model. In this strategy, the company enters into the market and making bids its bids for tenders depending on the market conditions. In this way, the company has diversified its operations and services by taking up various government projects including the construction of dams, bridges, and canals.