Jazan University- College of Business Administration Department of Marketing and E-Commerce- 2016
Marketing Management MRKT 231 Page 39 of 54
Fig.Describe how can we select a pricing method?3.6: Break-Even Chart for Determining Target-Return Price and
Break- Even Volume
Source: Marketing Management, Philip KOTLER, Kevinlane KELLER, Salah HASSAN, Imad
BAALBAKI, Hamed SHAMMA, PEARSON education 2012.3.4: Cost per Unit at Different Levels of Production per Period
Marketing Management, Philip KOTLER, Kevinlane KELLER, Salah HASSAN, Imad
BAALBAKI, Hamed SHAMMA, PEARSON education 2012.3.5: The Three Cs Model for Price Setting
Marketing Management, Philip KOTLER, Kevinlane KELLER, Salah HASSAN, Imad
BAALBAKI, Hamed SHAMMA, PEARSON education 2012.Jazan University- College of Business Administration Department of Marketing and E-Commerce- 2016
Marketing Management MRKT 231 Page 42 of 54
Step 6: Selecting the Final Price
In selecting the price, the company must consider additional factors,
including
o Impact of other marketing activities
o Company pricing policies
o Gain-and-risk sharing pricing
o Impact of price on other parties
Chapter questions
1.Jazan University- College of Business Administration Department of Marketing and E-Commerce- 2016
Marketing Management MRKT 231 Page 40 of 54
Step 4: Analyzing Competitors' Costs, Prices, and Offers
o The company must take competitors' costs, prices, and
possible price reactions into account.Page 385
Jazan University- College of Business Administration Department of Marketing and E-Commerce- 2016
Marketing Management MRKT 231 Page 41 of 54
Three major considerations in price setting are summarized in Fig.Page 384
Target Costing
o Costs can also change as a result of a concentrated effort by
designers, engineers, and purchasing agents to reduce them
through target costing.o The introduction of any price or the change of any existing
price can provoke a response from customers, competitors,
distributors, suppliers, and even government.2.4.5.6.2.3.4.5.6.7.8.9.10.11.12.13.15.16.17.18.