MKTG 301 Study Guide - Final Guide: Demand Curve, Variable Cost, Fixed Cost
13 Jan 2017
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The overall sacrifice that a consumer is willing to make to acquire a specific product or service. (pg 388) is money, time,travel, taxes, shipping etc. High price: signals quality especially if the consumer knows little about the product. Low price: signals low quality & poor performance. Only part of the marketing mix that doesn"t add costs. Consumers, economic conditions, markets, competitors, government regulations, and firms own product affect price 5c"s of pricing: competition, costs, company objectives, customers, channel members demand curve. Shows how many units of a product or service consumers will demand at specific prices & quantities. Usually straight or curved & assumes everything else constant. price elasticity of demand (simple elasticity calculation, what it means ), factors influencing price elasticity of demand, types of cost. Costs that vary with production volume ex. Variable cost per unit x # of items = total variable costs. ex 10 a room x 10,000 rooms booked = ,000.
