MGMT 32

Pricing decisions can be among the most challenging tasks for a marketer. Setting price seems to be part art, part science. A fundamental pricing idea is that value is in the eye of the beholder (or more specifically, the mind of the buyer).

One way that consumers evaluate price is to compare a product’s price. Marketing expert Sean D’Souza says evaluation of product price without anything else to compare to does not communicate value. Price judgments are not made in a vacuum but rather in reference to other prices.

In the article “Do Lower Prices Lead to More Sales?,” Sean D’Souza answers his headline with an emphatic “no.” His solution is for a business to develop a product line that has offerings at different price points, creating comparisons across your products rather than comparing with competing products or there being no comparison at all (pricing in a vaccum).

  • Take a stance either for or against D’Souza’s call for developing a product line with different price points. Is this the most effective way to communicate product value via the price element of the marketing mix?

Answer:

Having a product line with different price points can be an effective way to communicate product value through pricing, as it allows consumers to make comparisons and evaluate the products in relation to each other. This approach can help to build a sense of perceived value in the minds of consumers and can support differentiation between different offerings in the product line. Additionally, offering products at different price points can also make it easier to target different segments of the market, based on their individual needs and preferences.

However, it’s worth noting that developing a product line with different price points is not a universal solution, and other factors such as product quality, brand image, and marketing communications can also play a role in shaping consumer perceptions of value. It’s also important for businesses to be aware of the potential risks of this approach, such as confusing customers or damaging brand image if the quality of the products varies significantly between price points.

In conclusion, having a product line with different price points can be an effective way to communicate product value, but it’s important to consider other factors and the potential risks involved.

Calculate the price
Make an order in advance and get the best price
Pages (550 words)
$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Upload your instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with Boom Grades
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
Testimonials
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
Religious studies
I recommend this service they always help. I got an A in this project thanks.
Customer 452507, October 5th, 2021
Medicine
Great content.
Customer 452549, February 8th, 2022
English 101
perfect! thanks!
Customer 452543, December 1st, 2021
Public Health
Thank you so much !!
Customer 452589, November 28th, 2023
Classic English Literature
Great Work as Usual. Thank you . I received an A on the paper!
Customer 452531, November 9th, 2021
english comp
Thank you for all your hard time.
Customer 452509, June 27th, 2021
Literature
Absolutely LOVE having help especially from the person who wrote this last one. THANK YOU
Customer 452529, November 19th, 2021
English comp
Got a 94% thank you!
Customer 452509, June 27th, 2021
Gerontology
Thank you so much this looks great !!!!
Customer 452585, November 4th, 2023
Classic English Literature
Absolutely LOVE the essay I received. I really appreciate it so much.
Customer 452529, October 25th, 2021
Exercise Science
Thank you so much for your time.
Customer 452545, December 5th, 2021
english comp
Great paper and done before the deadline. Thank you
Customer 452509, June 15th, 2021
11,595
Customer reviews in total
96%
Current satisfaction rate
3 pages
Average paper length
37%
Customers referred by a friend
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat