The pricing model in your text, has six distinct steps in the pricing process. Considering the following list of steps in setting prices: identify pricing constraints and objectives; estimate demand and revenue; estimate cost, volume, and profit relationships; select an appropriate price level;__________ ; and make special adjustments to the list or quoted price.
A)scan competitors for price lines for similar products or services
B)select the appropriate pricing formula
C)test market the product or service to check for elasticity of demand
D)set the list or quoted price

Question

Quizplus · Accepted Answer

The final step in setting prices is to set the list or quoted price. This step involves taking into account all the information gathered in the previous steps and deciding on a price that works for the company's objectives, cost structure, and market demand. While scanning competitors and testing market elasticity can be helpful in determining pricing strategy, they are not steps in the actual pricing process. Selecting an appropriate pricing formula is also not a necessary step if a company already has a pricing strategy in place. Therefore, the best choice is to set the list or quoted price, which is the final step in the pricing process.

The Pricing Model in Your Text, Has Six Distinct Steps