MKTG Exam 3
Study online at https://quizlet.com/_j6hf4c
1. Price the amount of money charged for a product or service
2. _____ generates revenue and can price
quickly be adjusted
3. companies should sell ___, not value
price
4. price reductions can cut profits cheapen
and initiate price wars and _____
perceptions of brand quality
5. firms should strive to convince value
consumers that price is justified
by _____ provided
6. considerations in setting price product costs, competition and external factors, con-
sumer perceptions of value
7. Types of pricing cost-based, competition-based, value-based
8. pricing options Klarna and other companies allowing for price plans
9. cost-based pricing based on the costs of producing, distributing, and selling
the product plus a fair rate of return for effort and risk
10. types of costs fixed costs, variable costs, total costs
11. cost-based pricing - cost-plus pricing (markup pricing)
- break-even pricing
12. cost-plus pricing adding a standard makrup to the cost of the product
13. break-even pricing
, MKTG Exam 3
Study online at https://quizlet.com/_j6hf4c
setting price to break even on the costs of making and
marketing a product, or setting price to make a target
return
14. calculating breakeven units fixed cost/(selling price per unit - variable costs per unit)
15. competition setting prices based on competitors' strategies, costs,
prices, and market offerings
16. value-based pricing based on buyers' perceptions of value rather than on the
seller's cost
17. cost based pricing ...
18. value-based pricing ...
19. factor considerations impacting internal, external
pricing decisions
20. internal factors that impact pric- coordinate with packaging, promotion, and distribution;
ing decisions positioning
21. external factors that impact pric- types of markets, market and demand, economy
ing decisions
22. pure competition no competition (ex: gold)
23. monopolistic competition a market structure in which many companies sell products
that are similar but not identical; ex: cars
24. oligopolistic competition occurs when only a few firms dominate a market; ex:
T-Mobile, Verizon, etc. (cell companies)
, MKTG Exam 3
Study online at https://quizlet.com/_j6hf4c
25. different prices result in different demand
levels of ______
26. price elasticity of demand refers to changes in demand due to change in price
27. small demand change when price inelastic demand
changes is...
28. large demand change when price elastic demand
changes is...
29. factors impacting prciing strate- boom or recession, inflation, interest rates
gies
30. responses to the frugality of cut prices and offer discounts, develop more affordable
post-recession consumers items, redefine value propositions
31. new product pricing strategies - market skimming pricing
- market penetration pricing
32. market-skimming pricing (price setting a high price to skim maximum revenues from the
skimming) segments willing to pay the high price
33. market-penetration pricing setting a low price to attract a large number of buyers and
a large market share
34. product mix pricing ...
35. price adjustment strategies - discount and allowance pricing
- segmented pricing
- psychological pricing
Study online at https://quizlet.com/_j6hf4c
1. Price the amount of money charged for a product or service
2. _____ generates revenue and can price
quickly be adjusted
3. companies should sell ___, not value
price
4. price reductions can cut profits cheapen
and initiate price wars and _____
perceptions of brand quality
5. firms should strive to convince value
consumers that price is justified
by _____ provided
6. considerations in setting price product costs, competition and external factors, con-
sumer perceptions of value
7. Types of pricing cost-based, competition-based, value-based
8. pricing options Klarna and other companies allowing for price plans
9. cost-based pricing based on the costs of producing, distributing, and selling
the product plus a fair rate of return for effort and risk
10. types of costs fixed costs, variable costs, total costs
11. cost-based pricing - cost-plus pricing (markup pricing)
- break-even pricing
12. cost-plus pricing adding a standard makrup to the cost of the product
13. break-even pricing
, MKTG Exam 3
Study online at https://quizlet.com/_j6hf4c
setting price to break even on the costs of making and
marketing a product, or setting price to make a target
return
14. calculating breakeven units fixed cost/(selling price per unit - variable costs per unit)
15. competition setting prices based on competitors' strategies, costs,
prices, and market offerings
16. value-based pricing based on buyers' perceptions of value rather than on the
seller's cost
17. cost based pricing ...
18. value-based pricing ...
19. factor considerations impacting internal, external
pricing decisions
20. internal factors that impact pric- coordinate with packaging, promotion, and distribution;
ing decisions positioning
21. external factors that impact pric- types of markets, market and demand, economy
ing decisions
22. pure competition no competition (ex: gold)
23. monopolistic competition a market structure in which many companies sell products
that are similar but not identical; ex: cars
24. oligopolistic competition occurs when only a few firms dominate a market; ex:
T-Mobile, Verizon, etc. (cell companies)
, MKTG Exam 3
Study online at https://quizlet.com/_j6hf4c
25. different prices result in different demand
levels of ______
26. price elasticity of demand refers to changes in demand due to change in price
27. small demand change when price inelastic demand
changes is...
28. large demand change when price elastic demand
changes is...
29. factors impacting prciing strate- boom or recession, inflation, interest rates
gies
30. responses to the frugality of cut prices and offer discounts, develop more affordable
post-recession consumers items, redefine value propositions
31. new product pricing strategies - market skimming pricing
- market penetration pricing
32. market-skimming pricing (price setting a high price to skim maximum revenues from the
skimming) segments willing to pay the high price
33. market-penetration pricing setting a low price to attract a large number of buyers and
a large market share
34. product mix pricing ...
35. price adjustment strategies - discount and allowance pricing
- segmented pricing
- psychological pricing
