145APRCA45

Adding a fixed mark-up for profit to the unit price of a product

An firm that sets different prices to different consumer groups for the same product is using

Setting price based on the variable costs of making a product

Setting special low prices to gain market share or sell off excess stock 

Offering a low price for a new product in order to attract customers away from competitors

A product is sold at a very low price to encourage consumers to buy other products

Making prices more attractive to consumers by rounding prices down (e.g., $19.95 not $20.00)

If an increase in price leads to a more than proportional fall in sales, there will be

Price is charged based on the conditions in the market place and prices charged by competitors

Offering a product that is priced below cost in order to attract additional customers 

Pricing method where selling price is established by adding a mark-up to total variable costs

Selling the same product to different groups of consumers at different price

Charging the highest initial price that customers will pay and then lowering prices over time

A firm will have low ability to charge a premium for its product if 

Offering a product that is priced below cost in order to attract additional customers