2.2.2 Price Flashcards
1
Q
Price
A
How much a customer pays for a product
2
Q
What does a business need to consider when deciding the price?
A
Cost of making the product
Quality of the product
Brand image of the product
Demand and supply of the product
3
Q
Pricing Low
A
High level of sales but low profit margin
Often used for generic products with no USP
4
Q
Pricing High
A
Low level of sales but high profit margin
Luxury products or with a strong USP
5
Q
Factors that influence pricing strategy
A
Changes in technology
Number of competitors
Market Segments
Where a product is in its life cycle
