FINAL EXAM PRICING STRATEGIES

Which of the following is one benefit of having a good pricing strategy?

• Prevent market loss

• Lower rate of success

• Increase market loss

• Decrease company profit

Which of the following is tradional methodology for implementing a pricing strategy?

• Cost-plus pricing method

• Price-less margin method

• Industrial based method

• None of the above

Which are the 4 levers of profitability?

• 1. Price

  2. Sales

  3. Variable Cost

  4. Fixed Cost

• 1. Cost

  2. Price

  3. Profit

  4. Spent

• 1. Price

  2. Sales

  3. Spent

  4. Cost

• 1. Sales

  2. Cost

  3. Spent

  4. Taxes

Which are the 3 Steps in the New methodological approach for implementing prices?

• 1. Identify competitors

  2. Identify reference variables.

  3. Set prices

• 1. Identify reference variables

  2. Strategic analysis of the variables

  3. Price management in pricing

• 1. Set price

  2. Analyze reference variables.

  3. Analyze competitors

• None of the above

Which are the 6 "C" of new pricing

• 1. Channels

  2. Clients

  3. Customers

  4. Competitors

  5. Customers

  6. Costs

• 1. Channels

  2. Customers

  3. Clients

  4. Competitors

  5. Costs

  6. Product life CYCLE

• 1. Costs

  2. Customers

  3. Clients

  4. Channels

  5. Variable Costs

  6. Fixed Costs

• None of the above

In the COST-VALUE relation a high cost and high value product should:

• Optimize

• Low Price Offer

• Differentiate

• Cost reduction

Is it true when implementing pricing strategies you should reduce the left digit by one?

• TRUE

• FALSE

Which of the following statements is correct?

• Price war reduces commodity prices making them affordable to buyers

• Price war increases commody prices to buyers

• Price war is always the best scenario companies should implement

• None of the above are correct

Which of the following is the main disadvantage of price wars?

• The main disadvantage associated with a price war is that you don´t know if you can win it.

• The main disadvantage associated with price war is a reduction in profit margins.

• Competing in a price war is bound to threaten the existence of companies in the future.

• None of the above

Why is Price War Common?

• 1. Gain additional market share

  2. Generate steady cash-flow

  3. Increase their overall revenue

• 1. Loss market share

  2. Eliminate competence

  3. Increase profits

• 1. Companies do not know how to differentiate

• 1. The easiest way to compete is lowering prices.