Price strategy What factors condition the Country Email List pricing decision? Before setting a price we have to take into account the factors that determine the sale price, the objectives of that pricing policy and the strategy to follow. The company Country Email List has to implement a price strategy within certain margins , using costs and minimum profitability as a lower limit and, as a maximum, the capacity of market demand, a circumstance that is unknown to the Country Email List virtual market. competitive advantage . Our prices may be slightly higher. Depending on the objectives , there are different strategies.
Therefore, it depends on which objectives Country Email List we prioritize: profits, profitability, market share or image. Apart from customers and competitors, there are other interested parties such as intermediaries, suppliers, creditors, managers and Country Email List consumer organizations . The legal framework of each country can enter into the fixing of regulated prices , such as cartels at abusive prices by monopoly, loss sales to expel competitors, authorized Country Email List prices or the exchange rate and taxes. Technological changes in the market .
The products have to be profitable in Country Email List shorter periods of time, because the implementation of new technologies shortens life cycles, since they allow the proliferation of brands and innovations much faster. A very Country Email List common mistake is to set prices separately for each product. The optimal thing is to make decisions globally, since if we deal with complementary products, a price increase in one can reduce the Country Email List demand for the other and if they are substitutes, the demand for one will increase if I raise the price of the other. Differential Pricing Strategies