odd even pricing involves setting prices a few dollars or cents under an even

Odd even pricing involves setting prices a few

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odd-even pricing: involves setting prices a few dollars or cents under an even numberoi.e. set at $499.99 instead of $500target pricing: manufacturers sometimes estimate the price that the ultimate consumer would be willing to pay for a product; then work backward through markups taken by retailers and wholesalers to determine what price they can charge wholesalers for the productoresults in the manufacturer deliberately adjusting the composition and features of a product to achieve the target price to consumersyield management pricing: charging of different prices to maximize revenue for a set amount of capacity at any given timeoi.e. airline flights are priced differently within coach classcost-oriented approach: a price setter stresses the cost side of the pricing problem, not the demand side; price is set by looking at the production and marketing costs and then adding enough to cover direct expenses, overhead, and profitstandard markup pricing: adding a fixed percentage to the cost of all items in a specific product class; percentage markup varies depending on the type of retail store and the product involvedcost-plus pricing: involves summing the total unit cost of providing a product/service and adding a specific amount to the cost to arrive at a priceomost commonly used method to set prices for business productsocost-plus percentage-of-cost pricing: fixed percentage is added to the totalunit cost; often used to price one- or few-of-a-kind itemsocost-plus fixed-fee pricing: a supplier is reimbursed for all costs, regardlessof what they turn out to be, but is allowed only a fixed fee as profit that is independent of the final cost of the projectexperience curve pricing: based on the learning effect, which holds that the unit cost of many products and services declines by 10% to 30% each time a firm’s experience at producing and selling them doubles 11
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