Collis E. JohnsonPeriod 6

Monday, March 19, 2012

Chapter 11: The Price Strategy

This Pricing policy is when customers pay different prices for the same type or amount of merchandise.

Flexible-Price Policy

A one-price policy is one in which all customers are charged the same amount for the all goods and services offered.

One-Price Policy

Prestige pricing is when a good is offered at a high price in order to give it an image of status

Prestige Pricing

Is when pricing ends in .99 in order to make customers believe they are getting a deal

Odd/Even Pricing

Price lining is when a business sells the same category of items at different prices based on quality

Price Lining

Is a temporary pricing technique where it lowers price for a certain time as a part of a promotion.

Promotional Pricing

When a business sells multiple items at one whole price. An example would be if a store sells 10 gatorades for $10

Multiple Unit Pricing

Is a pricing technique that bundles items to sell together otherwise these items would not sell as individual items.

Bundle Pricing