MARK 3000 Grantham Exam 3 Questions and Answers (Graded A)

MARK 3000 Grantham Exam 3 Questions and Answers (Graded A) Price - Correct ️️ The overall sacrifice a consumer is willing to make -money, time, energy- to acquire a specific product or service. Profit Oriented - Correct ️️ A company objective that can be implemented by focusing on target profit pricing, maximizing profits, or target return pricing. Target Profit Pricing - Correct ️️ A pricing strategy implemented by firms when they have a particular profit goal as their overriding concern; uses price to stimulate a certain level of sales at a certain profit per unit. Maximizing Profits - Correct ️️ A profit strategy that relies primarily on economic theory. If a firm can accurately specify a mathematical model that captures all the factors required to explain and predict sales and profits, it should be able to identify the price at which its profits are maximized. Target Return Pricing - Correct ️️ A pricing strategy implemented by firms less concerned with the absolute level of profits and more interested in the rate at which their profits are generated relative to their investments; designed to produce a specific return on investment, usually expressed as a percentage of sales. Sales Orientation - Correct ️️ A company objective based on the belief that increasing sales will help the firm more than will increasing profits. Premium Pricing - Correct ️️ A competitor-based pricing method by which the firm deliberately prices a product above the prices set for competing products to capture those consumers who always shop for the best or for whom price does not matter. Competitor Orientation - Correct ️️ A company objective based on the premise that the firm should measure itself primarily against its competition. Competitive Parity - Correct ️️ A firm's strategy of setting prices that are similar to those of major competitors