Week 9 Discussion.docx BADM533 University of The Cumberlands BADM533 - M51 Marketing M

Week 9 Discussion.docx  BADM533  University of The Cumberlands   BADM533 - M51 Marketing Management   Chapter 9. Pricing.  Marketing, we believe, is the exchange of advantages and expenses between a customer and a business. However, the majority of the marketing 4Ps are directed outward, with the firm seeking to provide value to the consumer by producing a good product, making it available through accessible channels, and effectively explaining the product's merits. Price, on the other hand, gives the business a way to get value back from customers (Iacobucci, 2018). Marketers must understand how to establish pricing. Prices must be established according to the brand's positioning, whether it's on the cheap end or the high end (Iacobucci, 2018). Marketers must understand how customers perceive pricing and price changes, such as promotions, in order to predict how they will be perceived and impact demand. Finally, we'll look at how pricing may be used to categorize customers.  There are two concerns with cheap prices: First, how can we know if expenses are covered? To answer this fundamental question, we'll use a number of break-even calculations— simple arithmetic calculations that tell us how many units we need to sell to break even. The second pricing question is if low prices are a consistent strategic decision, such as for daily low price providers (EDLPs) that promote excellent value in the minds of customers. Should we jolt the market with price changes, providing and rescinding temporary pr