Ch 8
Ch 8
Ch 8
Ch 8
Ch 8
100
Involves the development of a container and the graphic design for a product
What is packaging?
100
Is a product sold at or below cost price
What is a loss leader?
100
Describes the methods used by a business to inform, persuade and remind a target market about it's product.
What is Promotion?
100
Is where the price covers costs (cost of raw materials and the cost of operating the business) and is comparable to the competitor's price
What is competition-based pricing?
100
Is a method of setting prices according to the interaction between the levels of supply and demand-whatever the market is prepared to pay
What is Market-based pricing?
200
Is a major business in an industry whose pricing decisions heavily influence the pricing decisions of its competitors
What is price leader?
200
Refers to the many forms of communication used to reach an audience.
What is advertising media?
200
Is the presentation of information on a product or its package
What is labeling?
200
Is the part of the package that contains information
What is a label?
300
Occurs when a business charges the highest possible price for the product during the introduction stage of it's life cycle.
What is price skimming?
300
Is a pricing strategy when a high price is charged to give the product an aura of quality and status (e.g designer brands)
What is prestige or premium pricing?
300
Is the various promotion methods a business uses in its promotional campaign. E.g. sales promotion, advertising.
What is promotion mix?
300
Is the quantity of a product business are willing to offer for sale at a particular price
What is supply?
400
Is a predetermined amount (usually expressed as a percentage) that a business adds to the cost of a product to determine its basic price.
What is a mark-up?
400
Is where the customers gain a "package" of goods and service in addition to the tangible good they purchased
What is bundle pricing?
500
Is the quantity of a product consumers are willing to purchase at a particular price.
What is demand?
500
Is a pricing method derived from the cost of producing or purchasing a product and then adding a mark-up
What is cost-based (mark-up) pricing?
500
Refers to the amount of money a customer is prepared to offer in exchange for a product
What is price?
500
Occurs when a business charge the lowest price possible for a product or service so as to achieve a large market share
What is price penetration?
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