Demand$-$Oriented Approaches for Setting Prices

Demand$-$Oriented Approaches for Setting

Prices

When considering how to set prices, companies can use two basic approaches $-$ cost$-$oriented and demand$-$oriented price setting.

Inherently, cost$-$oriented approaches have some problems, and the marketing manager must consider customer demand and price

sensitivity when making good price decisions.

The goal of this activity is to demonstrate your understanding of the different demand$-$oriented approaches for setting prices. In this

activity, you will read an example of a pricing strategy and then decide which demand$-$oriented pricing category it best fits.

Read each price$-$setting strategy and then drag and drop it to the demand$-$oriented pricing category it best represents.