Exam 4 Flashcards
Price
The overall sacrifice that a consumer makes to acquire a specific product or service
What are some characteristics of the price p
It is the hardest to get right
It is the easiest to change
It is the most contraverisal
What affects price
Stage of the PLC, SCM costs, buying power of retailers, and positioning costs
What does the price of a good depend on
Company objectives, customer’s reaction to certain price points, and costs
What are pricing strategies for
New to the world products
What are the two main pricing strategies
Price skimming and penetration pricing
Price skimming
Setting the price high. This usually happens in the introduction phase
Penetration pricing
Setting the price low
What is the point/role of public relations
To build the image and educate stakeholders
Functions of public relations
Press relations
Lobbying
Corporate communication
Crisis management
Press relations
Placing positive and noteworthy information on news media
Lobbying
Attempting to influence government actions
There are roughly 40,000 lobbyists in the US
Corporate communication
Internal and external communication to educate stakeholders
Crisis management
Coordinated effort to handle negative publicity and negative events
Damage control
New product publicity
Information about a new product or service appearing in mass media as a news item
You do not have to pay for this and customers trust this more than anything
Ex. Self driving Ubers, new iPhones, new beer
