Price Determination Assignment Help

Price Determination Assignment Help
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An Introduction to Price Determination

Price determination is one of the major factors in this highly competitive market. It is also an important part of 4Ps of Marketing Mix. There are hundreds of customers whose first focus is on the prices of the products. Prices are not set randomly. It depends on several factors like demand, supply, cost of raw materials, government rules, etc. So, product pricing is a rational decision for the management of an organization when the management needs to keep the focus on several factors and decide accordingly. As a student of economics, business management, marketing management, or entrepreneurship you have to know the price determination mechanism. Our Price Determination assignment help is the no.1 custom writing service in this field where you will get top-class writers with vast experience helping the students and making their assignment writing jobs easier and faster.

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Price Determination: An Overview

As said above, price determination is a ration decision. It is also an important decision that needs the ultimate focus and skill. The prime factors of price determination are as follows:

  • Production cost – This is the principal aspect of price determination. It is not possible nor feasible to sell a product below the cost of production. So, before the price fixation, it is necessary to determine the cost of production. Again, there are two types of the cost incurred during production or manufacturing, viz. fixed cost and variable cost.
  • The demand for the product – It is one of the complicated parts of price determination. Before a new product is launched in the market, it is necessary to get a comprehensive information and data regarding the demand of the product or similar types of products in the market. If the demand for the product is higher than the supply, a higher price can be fixed for the product.
  • Price of the competing firms’ products – It is also important to know in details the prices of the same types products of the competing firms. If the competition is too stiff, the price may a determining factor in generating demand.
  • Demography and buying capacity of the customers – These two factors determine the demand of a product. If the demography is favorable for the concerned product than there will be a good demand of the product and vice versa. On the other hand, the buying capacity of the customers in a market also determines the demand for a product.
  • Sales channel used – This also influences the process of price determination of a product. If there are several middlemen like stockiest, wholesaler, distributor, and retailer, the price determination will depend on how these people are paid. If there are less number of middlemen or the company does not keep anyone in-between the company and retailers, then the price can be kept comparatively low.

Price determination of products and services are all complex mathematics, marketing strategy, and a company’s long-term target. Some companies may want to increase the customer base by reducing the prices of the products while some other companies may have the strategy to keep the prices at the higher ranges for more profit. Your assignments on this subject will be a real test of your knowledge in this field. But, you may need essay writing help on Price determination to write it more efficiently and within the due date.

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