The significance of pricing decisions to an individual firm and economy. Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Write about the importance of pricing in marketing?

How do companies use pricing strategies to maximize profits and stay competitive?

How can a business' pricing decisions be affected by the government's actions?

Answer 2

Question

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Answer 6

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Answer 7

Chapter 20, Problem 1LO

Summary Introduction

To Discuss: The significance of pricing decisions to an individual firm and economy.

Introduction: Pricing decisions are the decisions that an organizations make when fixing costs for their items or services. Pricing is viewed as a component of an organization's marketing strategy since it impacts its association with various customers in the market.

Answer 8

Expert Solution & Answer

Explanation of Solution

The significance of pricing decisions to an individual firm and economy are as follows:

Price implies one thing to the buyer and another thing to the merchant. To the buyer, it is the cost of any product or service or something. To the merchant, cost is income, is the essential cause of revenues. Price is what is provided in a trade to get a good or service.

Purchasers are keen on getting a "sensible price." "Sensible price" truly signifies "perceived sensible value" during any transaction. Revenue is the value charged to customers which is multiplied by the quantity of units sold. Managers as a rule endeavour to charge a price that will procure a reasonable profit to the business.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Ch. 20 - Prob. 1LO Ch. 20 - Prob. 2LO Ch. 20 - Prob. 3LO Ch. 20 - Prob. 4LO Ch. 20 - Prob. 5LO Ch. 20 - Prob. 6LO

Concept explainers

Explanation of Solution

Want to see more full solutions like this?

Chapter 20 Solutions