MGT 103 Bates Final Exam| Questions & Answers (100 %Score) Latest Updated
2024/2025 Comprehensive Questions A+ Graded Answers | With Expert Solutions
__% of ticket sales are now Online - 50
Price - the money or other considerations (think: bartering) exchanged for the ownership or use of a
product or service
Barter - exchanging products and services for other products and services
Calculating the Final Price (Formula) - List Price - (Incentives + allowances) + Extra Fees
College Student ex.
Tution - scholarships + books/housing
Value (Formula) - Percieved Benefits / Price
Value Pricing (strategy) - Lowering price while keeping benefits the same
or
Increasing benefits while keeping price the same
Price to Value Relationship - When we pay a higher price, we tend to perceive a higher quality
doesn't mean that people will always be willing to pay a higher price though.
ex) pizza sales example
,Profit (Formula) - Total Revenue - Total Cost
broken down further:
(Unit Price x Quantity Sold) - (Fixed Cost + Variable Cost)
Potential Pricing Objectives - - Sales Revenue
- Market Share
- Unit Volume
- Survival
- Social Responsibility
Sales Revenue - Price x Quantity sold, money made before factoring in costs
Market Share - Ratio of a firms sales to the industry
- used when sales in an industry are flat or declining
Unit Volume - total amount sold
- used when trying to bring up consumer demand to match production capacity
Survival - the process of staying alive
- used when a firm cant match rivals price cuts
Social Responsibility - when a firm forgoes greater profits to meet obligations to society
Pricing Constraints - Demand
, Newness
Cost of Production
whether Single Product or Product Line
Cost of Changing prices
Type of competitive market
Demand - the greater the demand, the higher price that can be charged
Newness - products can be sold for higher prices earlier in their life cycles
Cost of Production - firms are forced to price products in a way that ensures their distribution partners
profit as well
Single Product vs Product line - single/unique products can be sold for higher price
when a company has a range of similar products they kind of have to stay in line with eachother, price
wise
Cost of Changing Prices - cost of updating online sites, catalog retail avenues, etc.
Pure Competition market - many sellers and consistent market price
(Agriculture- Wheat/Corn)
same benefit of corn, price is determined by what consumers want to pay
2024/2025 Comprehensive Questions A+ Graded Answers | With Expert Solutions
__% of ticket sales are now Online - 50
Price - the money or other considerations (think: bartering) exchanged for the ownership or use of a
product or service
Barter - exchanging products and services for other products and services
Calculating the Final Price (Formula) - List Price - (Incentives + allowances) + Extra Fees
College Student ex.
Tution - scholarships + books/housing
Value (Formula) - Percieved Benefits / Price
Value Pricing (strategy) - Lowering price while keeping benefits the same
or
Increasing benefits while keeping price the same
Price to Value Relationship - When we pay a higher price, we tend to perceive a higher quality
doesn't mean that people will always be willing to pay a higher price though.
ex) pizza sales example
,Profit (Formula) - Total Revenue - Total Cost
broken down further:
(Unit Price x Quantity Sold) - (Fixed Cost + Variable Cost)
Potential Pricing Objectives - - Sales Revenue
- Market Share
- Unit Volume
- Survival
- Social Responsibility
Sales Revenue - Price x Quantity sold, money made before factoring in costs
Market Share - Ratio of a firms sales to the industry
- used when sales in an industry are flat or declining
Unit Volume - total amount sold
- used when trying to bring up consumer demand to match production capacity
Survival - the process of staying alive
- used when a firm cant match rivals price cuts
Social Responsibility - when a firm forgoes greater profits to meet obligations to society
Pricing Constraints - Demand
, Newness
Cost of Production
whether Single Product or Product Line
Cost of Changing prices
Type of competitive market
Demand - the greater the demand, the higher price that can be charged
Newness - products can be sold for higher prices earlier in their life cycles
Cost of Production - firms are forced to price products in a way that ensures their distribution partners
profit as well
Single Product vs Product line - single/unique products can be sold for higher price
when a company has a range of similar products they kind of have to stay in line with eachother, price
wise
Cost of Changing Prices - cost of updating online sites, catalog retail avenues, etc.
Pure Competition market - many sellers and consistent market price
(Agriculture- Wheat/Corn)
same benefit of corn, price is determined by what consumers want to pay
