Pricing Flashcards
1
Q
Cost-plus pricing/Mark-up pricing
A
Cost = 10 $
Profit = 1 $
Price = 10 $ + 1 $ = 11 $
2
Q
Penetration pricing
A
low price to get into the market
3
Q
Price skimming
A
high price because people buy it anyway(ipad)
to get back the research prices
luxury product -› have to sell it on a high price
4
Q
Psychological pricing
A
15.99 is not 16
or avoid unlucky numbers (japan)
5
Q
The loss leader
A
pl: capsule coffee machines
-› the machine is very cheap
-› BUT the capsules are very expensive
also dollar stores
6
Q
Price discrimination
A
based one region (like Netflix)
based on the time of the day
or based on gender (“Pink tax”)
