The Price is Right LAP
Who sets prices?
The manufacturer does set the price at which he will sell his product, but he cannot force the consumer to buy.
product business
Sell goods to consumers and other businesses
Marketing
An organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relations in ways that benefit the organization and its stakeholders
promotion
Communication by marketers that informs, persuades, and reminds potential buyers of a product in order to influence an opinion or elicit a response
Promotion decisions
Marketing element referring to selection of the various types of communications that marketers use to inform, persuade, or remind customers of their products
What factors affect prices?
Supply and demand, product life cycle, Inflation
Promotional budget
The amount of money a business plans to spend on promoting its goods and services during a certain period of time
price
The amount of money exchanged for a good or service
Marketing mix
The combination of the four elements of marketing—product, place, promotion, and price
place of business
Where the business of real estate brokerage is normally transacted and where business calls can be directed and received.
Why is pricing important?
when customers make judgment decisions on purchasing goods and services, they often consider value, challenge to manage, and money revenue
