Chapter 7 pricing strategyCore contents:What is price?Factors affecting price decisions.（影响定价决策的主要因素）Pricing approaches.（定价的主要方法）Pricing strategies.（定价战略）11.what is PricePrice is the sum of all the values that consumers exchange for the benefits of having or using the product or service.(价格是商品价值的总和)Price has been the major factor affecting buyer choice;nonprice factors have become increasingly important in buyer-choice behavior.(价格一直以来是影响 购买决策的主要因素,但非价格因素对购买行为决策的影响越来越大。)Price is the only element in the marketing mix that produces revenues; all others represent costs.（价格在营销组合中是唯一一个能给企业带来收益的因素；营销组合中的其它因素都意味着投入。）22.Factors Affecting Price Decisions ( Fig. 10.1) Internal Factors（内部因素）Marketing Objectives（营销目标）Marketing Mix Strategy）（营销组合战略）Costs（成本）Organizational considerations（其它因素）External Factors（外部因素）Nature of the market and demand（市场性质需求）Competition（竞争）Other environmental factors (economy, resellers, government) （其它环境因素，如经济、中间商、政府） PricingDecisions32.1Internal Factors Affecting Pricing Decisions: Marketing Objectives4PriceProduct DesignDistributionPromotionNonpricePositions2.2Internal Factors Affecting Pricing Decisions: Marketing Mix 52.3 Cost Factors that Affect Pricing Decisions Total CostsSum of the Fixed and Variable Costs for a Given Level of ProductionVariable CostsCosts that do varydirectly with the level of production.Raw materials6Costs ConsiderationsCost per unit1234SRACLRACQuantity Produced per Day1,0002,0003,0004,000 Cost Per Unit at Different Levels of Production Per Period7Types of Cost Factors that Affect Pricing DecisionsAs a firm gains experience in production, it learns how to do it better.The experience curve (or the learning curve) indicates that average cost drops with accumulated production experience.Strategy: company should price products low; sales increases; costs continue to decrease; and then lower prices further. Risks are present with this strategy. 8Market andDemand （市场与需求）Competitors Costs, Prices, and Offers（竞争者的成本、价格、产品与服务等）Other External Factors（其它外部因素）Economic ConditionsReseller NeedsGovernment ActionsSocial Concerns2.4External Factors Affecting Pricing Decisions9Pure CompetitionPure CompetitionMany Buyers and Sellers Who Have Little Effect on the PriceMonopolistic Monopolistic CompetitionCompetitionMany Buyers and Sellers Who Trade Over a Range of PricesPricing in Different Types of MarketsMarket and Demand Factors Affecting Pricing DecisionsOligopolisticOligopolistic CompetitionCompetitionFew Sellers Who AreSensitive to Each Others Pricing/ Marketing StrategiesPure MonopolyPure MonopolySingle Seller10Demand Curves and Price Elasticity of DemandA Demand Curve is a Curve that Shows the Number of Units the Market Will Buy in a Given Time Period at Different Prices that Might be Charged.Price Elasticity Refers to How Responsive Demand Will be to a Change in Price.Price Elasticity of Demand = % Change in Quantity Demanded % Change in Price11Price Elasticity of DemandPriceQuantity Demanded per PeriodA. Inelastic Demand - Demand Hardly Changes Witha Small Change in Price.P2P1Q1Q2PriceQuantity Demanded per PeriodP2P1Q1Q2B. Elastic Demand -Demand Changes Greatly Witha Small Change in Price.12Major Considerations in Setting Price (Fig. 10.5)133.pricing approachesCost-based pricing（成本导向定价）Value-based pricing（价值导向定价）Competition-based pricing（竞争导向定价）14Cost-Based PricingCertainty About CostsPricing is SimplifiedPrice Competition Is MinimizedUnexpectedSituational FactorsAttitudes of OthersEthicalIgnores Current Demand & CompetitionCost-Plus Pricing is an Approach That Adds a Standard Markup to the Cost of the Product.Simplest Pricing MethodMuch Fairer to Buyers & Sellers15Breakeven Analysis or Target Profit Pricing246810122004006008001,000Total RevenueTotal CostFixed CostTarget Profit($2 million)Sales Volume in Units (thousands)Cost in Dollars (millions)Tries to Determine the Price at Which a Firm Will Break Even or Make a Certain Target Profit.16ProductCostPriceValueCustomersCustomerValuePriceCostProduct Cost-Based Pricing Value-Based PricingCost-Based Versus Value-Based Pricing (Fig. 10.7)17?Competition-Based Pricing184.pricing strategiesNew-product pricing strategiesDiscount and allowance pricing strategies（折扣与让利定价策略）Segmented pricing strategies（细分、差别定价策略）Psychological （心理）pricing strategiesPromotional （促销）pricing strategies19 New-product pricing strategiesMarket-skimming pricing(取脂定价）Market-penetration pricing（渗透定价）20Discount and allowance pricing strategies （折扣与让利定价策略）Cash discount（现金折扣）quantity discount（数量折扣）Functional discount（业务折扣）Seasonal discount（季节折扣）Allowance（让利）21 Psychological pricing strategies声望定价尾数定价整数定价吉祥数字定价招徕定价22Promotional pricing strategies（促销定价战略）235.price changes and price competition（调价与价格竞争）Initiating price changes:initiating price cuts, initiating price increases.Responding to price changes.案例探讨24思考题1、企业定价的基本方法有哪些？各种定价方法所体现的企业经营者的经营观念是什么？2、新产品定价策略有哪些？它们各自的适应条件是什么？3、影响企业定价的主要因素有哪些？4、企业在降价过程中应注意哪些问题？25