Generic price quality positioning map exhibit 103

Info icon This preview shows pages 2–5. Sign up to view the full content.

Generic Price-Quality Positioning Map EXHIBIT 10.3 Feasible Positions Feasible Positions Feasible Positions High Price Low Price Low Quality High Quality Tactical Pricing Approaches EXHIBIT 10.4 Auction Pricing EDLP and High/Low Pricing One-Price and Variable Pricing Odd/Even Pricing Prestige Pricing Reference Pricing
Image of page 2

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

Price Bundling Captive Pricing Product Line Pricing Pricing Tactics SELECT PRICING TACTICS Product Line Pricing Price points reflect different benefits at different prices Hotel rooms, autos, appliances or different brands like Ritz-Carlton, Marriott, Fairfield Inn, Courtyard Captive Pricing Complementary pricing or “razors and blades” like printers and ink cartridges In the service sector may be called two-part pricing for firms that charge a monthly fee and then bills for specific services like a gym membership and personal trainer fees
Image of page 3
SELECT PRICING TACTICS Price Bundling allows customers to buy a package deal at a lower price than if items bought separately Cable TV, land line phone service, internet Reference Pricing gives the buyer a comparative price Store brands on the shelf next to national brands SELECT PRICING TACTICS Prestige Pricing Higher that the competition like luxury goods or ultra-premium products Odd/Even Pricing No even numbers. Examples: $1.98 or $1.99 Developed before sales tax and credit cards to bolster cash register security and reduce employee thef Today is a key element in psychological pricing SELECT PRICING TACTICS
Image of page 4

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

Image of page 5
This is the end of the preview. Sign up to access the rest of the document.
  • Spring '14
  • JamesE.Zemanek
  • Pricing

{[ 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