GB 350 Ole Miss- Final Exam Questions & Answers Correctly Answered.

GB 350 Ole Miss- Final Exam
Pricing Objectives - CORRECT ANSWER--Profit Oriented
-Sales Oriented
-Status Quo

Profit- Oriented Pricing Objective (subcategories) - CORRECT ANSWER--Profit
Maximization
-Satisfactory Profits
-Target Return on Investment

Profit Maximization - CORRECT ANSWER-The absolute maximum price a market is
willing to tolerate

Satisfactory Profits - CORRECT ANSWER-A reasonable price point for both the
customer and the company

Target Return on Investment - CORRECT ANSWER-Based on the amount an investor
(shareholder) expects to gain or recover from their investment

Sales- Oriented Pricing Objective (subcategories) - CORRECT ANSWER--Market
Share
-Sales Maximization

Market Share - CORRECT ANSWER-company prices to gain as much market share
(best margins) possible- how much money you're trying to SPEND

Sales Maximization - CORRECT ANSWER-Pricing to sell as much as possible (most
customers)- How much money you're trying to MAKE

Equation for Elasticity of Demand - CORRECT ANSWER-% change in quantity
demanded / % change in price

Status Quo Pricing Objective - CORRECT ANSWER--Maintain existing prices
-Meet competition's prices

The two factors of Demand Determinant of Price - CORRECT ANSWER--Demand
-Supply

How Supply & Demand Establish Price - CORRECT ANSWER--Price Equilibrium
-Elasticity of Demand

Price Equilibrium - CORRECT ANSWER-The price at which demand and supply are
equal