Pricing Strategies and Decisions
Pricing Strategy Management
Pricing Policies, Processes and Methods
Policies used to manage Tesla’s pricing strategy. Currently Tesla is not only benefiting by but is actually relying on government subsidies to sell its cars. Subsidies come from electric vehicle (EV) tax credits that purchasers are able to obtain whenever they buy a Tesla. The problem is that these credits are only given to consumers for a set duration. Once the government ends the subsidy, sales drop drastically, as has been in the case in Hong Kong where tax incentives basically were… Continue Reading...
Pricing Strategy
There are several critical factors that affect making pricing decisions: customers, competitors, regulations, government laws, the overall economy, and production costs and some of the most important variables to look at when deciding on a pricing strategy. As Zeng, Dasgupta and Weinberg (2016) put it, differentiation is key to developing a pricing strategy that works for a company that has to set itself apart from competitors in order to secure market share. For Tesla, which is the subject of this paper, the electric vehicle (EV) market is beginning… Continue Reading...
embrace optimal pricing structures (Morden, 2016). In this case, I concern myself with the most viable pricing strategy for SunPower so as to not only earn the highest cumulative profit, but also expand market share. This will be done in the light of competitor pricing policies, in which case the said competitors are likely to charge prices that are lower than those of SunPower.
Discussion
From the analyses in Appendix 1 (Run 1) and Appendix 2 (Run 2), two themes emerge. As SunPower’s module price decreases, the market share as well as profitability increases. On the other hand, as SunPower’s module price increases, the market share… Continue Reading...
and achieve its objectives, it requires a suitable marketing mix model. The most suitable pricing strategy for this organization is flexible pricing model to serve different customers. Rather than adopt a one-size-fits-all pricing strategy, the organization should… Continue Reading...
very important for management, because pricing strategy is a key element of spurring demand. In particular, if consumers are spent out after Expo, the VSO might need to adjust prices downwards in order to attract consumers back to the symphony. The timing of the shows is another factor and the survey asks about that as well. Overall, the survey provides a lot of the information that management needs to make changes to times, shows, quality, marketing efforts and pricing. There is not a lot of information to provide insight into demographics – just postal codes… Continue Reading...
the bend and recreated itself to be appealing to consumers in the 21st century. After focusing on pricing strategy in the 1990s, Best Buy found itself losing ground to online competitors and to Walmart as prices began dropping everywhere. Understanding that the brick and mortar retailer could still offer something that Amazon and Walmart could not—expert specialized assistance and service—it revamped its strategy to be service-oriented rather than product-oriented.
Best Buy applied the customer-centric model to its retail stores, allowed managers to apply the results only approach with its sales reps, and increased its online presence so as to stay relevant in the Age of the Internet.… Continue Reading...
brand image.
· Effective distribution strategy.
· High brand valuation.
· Designer brand.
Weaknesses
· Higher pricing strategy.
· Over-reliance on few wholesale customers.
· Reliance on contract manufacturers.
Weaknesses
· Limitations in exploration of new… Continue Reading...
