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प्रश्न
What are the conditions under which parity pricing is desirable?
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उत्तर
Parity pricing is an appropriate strategy in the following situations:
- When it is very difficult to measure costs, parity pricing may be the logical first step in a rational pricing strategy.
- When price leadership is well established, charging according to what competitors are charging may be the only safe policy. In an oligopolistic market, charging lower than the leader may lead to price war.
- Where competition is very severe and competitive products are homogeneous.
- It may be less troublesome and less costly than an individualistic pricing strategy.
संबंधित प्रश्न
State any two advantages of cost-plus pricing strategy.
Markup pricing is also called as ______.
______ determines the sales volume and the profit margins.
The pricing strategy involves charging according to what competitors are charging ______.
Parity pricing is not relevant under the present marketing conditions. Justify either for or against by giving two reasons.
Give two conditions under which parity pricing is desirable.
In a competitive market, parity pricing is the appropriate strategy. Justify either for or against.
State two disadvantages of Cost plus pricing policy.
| Evergreen Cosmetics is planning to launch a new range of 'anti-wrinkle creams' in the Indian market. They conducted a market survey and found potential competition from Remain Young. Since they are targeting the higher strata of society, the cream is being priced much higher than their competitors. They plan to use the television as a media to advertise this anti-wrinkle cream as opposed to print media which is largely used by them for their other products. Officials at Evergreen Cosmetics feel that with the correct style of promotion, they could easily be successful in the market. |
- Identify and explain the pricing strategy that is being used by Evergreen Cosmetics.
- Describe any two qualities that a salesman selling this product should possess.
- Explain any two tools of sales promotion that can be used here.
What pricing strategy will be used to launch shampoo?
