Study your flashcards anywhere!

Download the official Cram app for free >

  • Shuffle
    Toggle On
    Toggle Off
  • Alphabetize
    Toggle On
    Toggle Off
  • Front First
    Toggle On
    Toggle Off
  • Both Sides
    Toggle On
    Toggle Off
  • Read
    Toggle On
    Toggle Off

How to study your flashcards.

Right/Left arrow keys: Navigate between flashcards.right arrow keyleft arrow key

Up/Down arrow keys: Flip the card between the front and back.down keyup key

H key: Show hint (3rd side).h key

A key: Read text to speech.a key


Play button


Play button




Click to flip

15 Cards in this Set

  • Front
  • Back
3 methods to use in competition-oriented approaches
1- at,above or below market pricing - price based on the market benchmark or from competition
2- customary - pricing thru tradition
3- loss-leader - pricing not intended to increase sales but rather to bring customers hoping theyll buy other products w/ higher markups
formula for target return on sales
ROS = target profit/target revenue
3 methods used in profit-oriented pricing approaches
1- target ROI
2- target return on sales
3- target profit
difference b/t flexible-price policy & one-price policy
FPP- setting different prices for prod depending on indiv buyers & purchase situations
OPP- setting one price for all buyers for a prod
price war
successive price cutting by competition in hopes of increasing sales or market share
types of discounts
define "2/10 net 30"
retailer can take a 2% discount if the bill is paid w/in 2 days in not just make the regular payment w/in 30 days
3 types of special adjustments that can be made to prices
1- discounts
2- allowances
3- geographical adjustments
what is a company inspired to do in order to receive a cash discount
pay their bills to the manufacturer quickly w/in a certain period of time
why is "everyday low pricing" not always a good thing
b/c although they r good prices for the consumers that will often buy it it can substanially reduce a retailer's profits
at what point does the title of the goods transfer to the buyer in FOB origin pricing?
at the point of loading
difference b/t price discrimination & deceptive pricing
PD- setting diff prices to diff buyers for the same type of goods
DP- price deals that mislead consumers
promotional allowances
incentives for retailers to use extra advert or selling activities to promote a manuf product
2 methods of pricing based on transportation costs
1- FOB origin pricing
2- uniform delivered pricing
diff b/t cumulative & noncumulative quantity discounts
CQD- apply to the accumulation of purchases of a prod over a given period of time
NQD- based on size of individual purchase