Pricing Function 4.01

Pricing is important for both:

• Customer Complaints and Company Success

• Customer Satisfaction and Company Success

• Customer Satisfaction and Company Profit Loss

Competitive, realistic, and flexible are components of:

• Product Mix

• Promotional Medium

• Effective Pricing

Which of the following affects price?

• Costs, Competition Channel Members and Company Objectives

• Supply and Demand, Economic Conditions, and Government Regulations

• All of these

If the economy is not doing well, a company might need to ______ prices

• Increase

• Decrease

• Keep the same

If there is a lot of demand for a specific brand of jeans and the supply is low, the company might ______ price.

• Increase

• Decrease

• Keep the same

If the costs for a company to make their products goes up, the price for the product will probably ______.

• Increase

• Decrease

• Stay the same

True or False: An inexpensive product will have the highest quality materials with the most features.

• True

• False

When buyers and sellers have agreed on the value of a product...meaning the price at which the buyer is willing to spend on a product is the same as what the seller is willing accept...this is called?

• Exchange Price

• Promotion Deal

• Sales

True or False: How a company prices their products will impact their company image.

• True

• False

True or False: If a company wants to gain market share and only needs to cover costs, their prices will likely be higher than the competition.

• True

• False