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| Federal legislation prohibiting price discrimination not based on a cost differential; also prohibits selling at an unreasonably low price to eliminate competition |
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| State laws requiring sellers to maintain minimum prices for comparable merchandise |
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| Statues enacted in most states that once permitted manufacturers to stipulate a minimum retail price for their product |
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| Method of analyzing the relationship among costs, sales price, and increased sales volume |
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| Point at which the additional revenue gained by increasing the price of a product equals the increase in total costs |
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| Short-run or long-run pricing objectives of achieving a specified return on either sales or investment |
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| Volumen-related pricing objective with the goal of controlling a portion of the market for a firm's product |
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| Profit Impact of Market Strategies (PIMS) project |
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| Research that discovered a strong positive relationship between a firm's market share and product quality and its return on investment |
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| Pricing strategy that emphasizes benefits derived from a product in comparison to the price and quality levels of competing offerings |
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| Traditional prices that customers expect to pay for certain goods and services |
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| Schedule of the amounts of a firm's product that consumers will purchase at different prices during a specified time period |
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| Schedule of the amounts of a good or service that firms will offer for sale at different prices during a specified time period |
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| Market structure characterized by homgeneous products in which there are so many buyers and sellers that none has a significant influence on price |
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| Market structure involving a heterogeneous product and product differentiation among competing suppliers, allowing the marketer some degree of control over prices |
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| Market structure in which relatively few sellers compete and where high start-up costs from barriers to keep out new competitors |
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| Market structure in which a single seller dominates trade in a good or service for which buyers can find no close substitutes |
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| Cost that changes with the level of production (such as labor and raw materials costs) |
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| Cost that remains stable at any production level within a certain range (such as a lease payment or insurance cost) |
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| Cost calculated by dividing the sum of the variable and fixed costs by the number of units produced |
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| Change in total cost that results from producing an additional unit of output |
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| Measure of responsiveness of purchasers and suppliers to a change in price |
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| Practice of adding a percentage of specified dollar amount-or markup-to the base cost of a product to cover unassigned costs and to provide a profit |
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| Pricing method that uses all relevant variable costs in setting a product's price and allocates those fixed costs not directly attributed to the production of the priced item |
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| Pricing method that attempts to use only costs directly attributable to a specific output in setting prices |
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| Pricing technique used to determine the number of products that must be sold at a specified price to generate enough revenue to cover total cost |
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| modified breakeven analysis |
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Definition
| Pricing technique used to evaluate consumer demand by comparing the number of products that must be sold at a variety of prices to cover total cost with estimates of expected sales at the various prices |
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| Pricing strategy that allows marketers to vary prices based on such factors as demand, even though the cost of providing those goods or services remains the same |
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