Chapter 17: Pricing Decisions
Chapter Summary:
In this chapter, we begin a two-part discussion of the pricing component of the Marketer’s Toolkit. We start by defining price and see how it has a different meaning for different parties to a transaction. We next look at why price is essential to marketing and to the organization. Finally, considerable attention is given to the internal and external factors that influence pricing decisions.
Key Issues:
- What is Price?
- Importance of Pricing
- Internal Factors Affecting Pricing Decisions
- External Market Factors Affecting Pricing Decisions
Links to Cited References:
(note: Some links may no longer be active, if this is the case check Accessing Marketing Stories for hints on accessing.)
- Gregory, S., “Has Walmart's Price Chopping Come to an End?” Time, October 5, 2010. http://www.time.com/time/business/article/0,8599,2023857,00.html
- Del Rey, J., “How to Raise Prices,” Inc. Magazine, January 20, 2011. http://www.inc.com/magazine/20110201/case-study-how-to-raise-prices.html
- Mangalindan, J.P., “25 Ways of Downloading Angry Birds,” Fortune, June 3, 2011. http://tech.fortune.cnn.com/2011/06/03/25-ways-angry-birds/
- Bustillo, M. and A. Zimmerman, “Phone-Wielding Shoppers Strike Fear Into Retailers,” Wall Street Journal, December 15, 2010. http://online.wsj.com/article/SB10001424052748704694004576019691769574496.html
- Pincott, G., “Brand Equity: What's Price Got to Do With It?” Millward Brown, June 2011. http://www.millwardbrown.com/Libraries/MB_POV_Downloads/MillwardBrown_POV_Brand_Equity_and_Pricing.sflb.ashx
- Chang, A., “99 Cents Only Stores Sued Over Price Increase,” Los Angeles Times, July 22, 2010. http://articles.latimes.com/2010/jul/22/business/la-fi-0722-99-cents-only-20100722
- Olivarez-Giles, N., “Amazon Launches College Textbook Rentals Program,” Los Angeles Times, July 19, 2011. http://articles.latimes.com/2011/jul/19/business/la-fi-kindle-textbook-20110719
- Hutchison, J., “The Price of a Jersey Sets Rugby Fans Against Adidas,” New York Times, August 24, 2011. http://www.nytimes.com/2011/08/25/sports/rugby/adidas-angers-all-blacks-fans-with-price-policy.html
- Stone, B., “The Fight Over Who Sets Prices at the Online Mall,” New York Times, February 7, 2010. http://www.nytimes.com/2010/02/08/technology/internet/08price.html
- Koenig, D., “Amazon.com to Capitulate to Macmillan Price Demand,” USA Today, February 1, 2010. http://www.usatoday.com/tech/news/2010-02-01-amazon-macmillan_N.htm
- Brady, D., Essentials of International Marketing, M.E. Sharpe Inc, 2011.