MKTG101 Lecture Notes - Lecture 8: Publilius Syrus, Price Discrimination, Marginal Revenue
4 Aug 2018
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Everything is worth what its purchaser will pay for it (publilius syrus, rst century. A cynic knows the price of everything but the value of nothing (oscar wilde the. If you have to ask the price, you can"t a ord it. (rolls royce) You only get what you pay for. (anonymous) Management of price is calling pricing and is based on overall organisational objectives. Price is a measure of value to both buyers and sellers. Buyers see price as a measure of bene t, sellers need prices to cover costs and provide pro ts. Pro t = (price x sales volume) - total costs. Price is a major determinant of sales volume. In turn, sales volume in uences costs, both per unit sold, and the production cost of each unit. Satisfaction derived from the consumption or ownership of the product. Some are motivated by higher prices, believing that these re ect higher quality of product (price seeking)
