Which of the following pricing methods determine the final price to charge without recognizing the role that consumers or competitors' prices play in the marketplace?
A)Cost-based pricing method
B)Value-based pricing method
C)Competitor-based pricing method
D)Supply-based pricing method
E)Demand-based pricing method

Question

Quizplus · Accepted Answer

Cost-based pricing methods determine the final price based on the cost of producing or providing a product or service, without taking into account how consumers or competitors might value the product or service. This approach can lead to pricing decisions that don't reflect market realities, such as setting prices too high or too low based solely on production costs. Therefore, it is not the best choice for pricing strategy, particularly in today's complex and competitive marketplace.

Which of the Following Pricing Methods Determine the Final Price