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INITIATING AND RESPONDING TO PRICE CHANGES
10

When should a company initiate price change

Aug 17, 2015

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Marketing

Sameer Mathur
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Page 1: When should a company initiate price change

INITIATING AND RESPONDING TO PRICE CHANGES

Page 2: When should a company initiate price change

INITIATING PRICE CUTS

Page 3: When should a company initiate price change

Due to excess plant capacity

Page 4: When should a company initiate price change

To dominate the market through low costs

Page 5: When should a company initiate price change

Price cutting strategy can lead to traps

Page 6: When should a company initiate price change

•Low-quality trap

•Fragile-market-share trap

•Shallow-pockets trap

•Price-war traps

Page 7: When should a company initiate price change

INITIATING PRICE INCREASING

Page 8: When should a company initiate price change

Cost Inflation

Page 9: When should a company initiate price change

Over demand

Page 10: When should a company initiate price change

•Delayed quotation pricing

•Escalator clauses

•Unbundling

•Reduction of discounts