Thursday, May 16, 2019
Everydy Low pricing Assignment Example | Topics and Well Written Essays - 250 words
Everydy Low pricing - Assignment Example2. What could your topical anesthetic supermarket do opposite than offer low prices or price discounts to win your business (delight you) and still maintain a graduate(prenominal) profit margin? As suggested, other than offering everyday low prices, ones local supermarket could offer some slow moving products on major price-off sale (from 20 to 50% off) or provide discounts to frequent buyers (maybe through accumulating points which could be redeemed as cash on the next shopping). These strategies would come across that slow moving products could be purchased and the points system would not entail costs to the supermarket which could lessen their profits.3. What advantages and disadvantages do you claver for manufacturers to offer everyday low purchase prices to retailers? Are manufacturers and retailers pushing price so much that theyre in danger of lowering profits? Is this especially true on the Internet? Why is price contention so comm on?The advantages of offering everyday low purchase prices to retailers by manufacturers include selecting them as sources of products in volume, as against competitors not offering low prices. The disadvantages include potentially lower profit potentials if the volumes of needed sales are not met.One believes that manufacturers and retailers make the necessary computations in volume-price effect of pushing price to happen upon a target profit otherwise, they would not offer this pricing strategy. This fact is applicable in both organizational setting and in various medium, including the internet. Price competition is so common because consumers are proper price conscious and opts to purchase products that are perceived to be the cheapest but provides the value needed by the
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