Pricing

Catalog description

While most of a firm's marketing activities (such as product design, sales or advertising) create value for the customer, pricing is the only marketing activity that creates value for the firm. Despite the significance of pricing for a firm's profits, many managers lack the quantitative and strategic skills to set prices. This course will examine the quantitative tools used to formulate pricing strategy, and address how to formulate pricing tactics. Topics include estimating the value of a product or service; how to estimate own-price and cross-price elasticities to use in pricing decisions; determining when promotions should occur; and how to set prices that are consistent with both the firm's pricing strategy and its overall marketing strategy. This course is for MQM: Business Analytics students.