WorksheetsMarketing Mix _ Price_JFS
Total questions: 21
Worksheet time: 14mins
Business need to consider 3 factors before deciding the price of their products.
Which of the following is NOT one of the 3 factors of pricing? TB Pg78
Customers' willingness to pay
Competitors' prices
Costs of production
Customers' prices
Different businesses have different names for the price of their products:
Eg. Hotel rooms: Room rates
What about for Airlines on their plane tickets?
Travel price
Airfares
Flight rates
Business need to consider the COSTS of making the product before deciding on the price to sell to customers.
Which of the following are COSTS of the product?
materials costs
staff salaries
rental costs
promotion expenses
The cost of producing a wallet is $10. Customers are willing to pay $20 for this wallet.
The business should price the wallet at ________ .
$8
$10
$15
$20
Product-line pricing involves setting different prices for different v (a) of the same product.
E.g. in airline seats, there are business class, premium class and economy class seats.
Product-bundle pricing involves pricing a few r (a) products as a bundle and offering it at a reduced price.
E.g.a restaurant offers a set meals that come with a salad or soup, a main course, a dessert and a drink.
Optional-product pricing involves setting the prices of o (a) products along with the main product.
E.g. bubble tea shop offer customers the choice to add different toppings at additional charge.
Odd-even pricing involves setting the prices just b (a) an even amount. E.g setting hotel room rate at $299 instead of $300.
Travellers who are on free and easy packages may opt to pay extra for guided tours, additional meals or hotel upgrades, whereas travellers on budget may not opt for the additional items.
Which pricing technique is this?
Odd-Even Pricing
Optional-Product Pricing
Product-Bundle Pricing
Discount Pricing
Recommend the pricing technique for Wow Tour Agency if they want to increase short-term sales by giving special discounts during festive seasons for all travel products and services.
Odd-Even Pricing
Optional-Product Pricing
Product-Bundle Pricing
Discount Pricing
Observe this picture. Which pricing technique is Nike using? (Hint: look at the last digit of the price)
Product-line pricing
Product-bundle pricing
Optional-product pricing
Odd-even pricing
Besides odd-even pricing, state another type of pricing technique used? (Hint: the 3 phones are of different models)
Product-bundle pricing
Discount pricing
Product-line pricing
Optional product pricing
Observe this picture. Which two pricing technique is Swensen's using to price its food? (Hint: The food are sold in sets)
Product-line pricing
Product-bundle pricing
Optional-product pricing
Odd-even pricing
How much are you willing to pay for a cup of milk tea with pearls?
$3
$4
$5
$6
$7 and above
Definition - The business will charge a price based
on the production costs.
Cost-Added Pricing
Cost-Plus Pricing
Competitive Pricing
Cost-Minus Pricing
Which is not an example of a business that might use Cost-Plus Pricing?
Plumber
Supermarket
Funeral Director
Fast Food restaurant
Actions of competitors are completed ignored by businesses that use Cost-Plus Pricing?
True
False
Consideration into what customers are willing to pay is the main focus of Market-Led Pricing Strategies?
False
True
Market Research is...
Primary and Secondary
Expensive
Time consuming
A waste of business time and efforts
Essential for business success
Definition - Businesses will charge similar prices to other businesses. Is an example of...
Penetrative Pricing
Competition Pricing
Cost-Plus Pricing
Competitive Pricing
