What distinguishes cost$-$based pricing from margin$-$based pricing?

Cost$-$based pricing is focused on covering costs plus a fixed profit, while margin$-$based considers market conditions.$$

Margin$-$based pricing adjusts margins based on competition, while cost$-$based is fixed.$$

Cost$-$based pricing exclusively uses production costs to set prices, whereas margin$-$based pricing factors in the desired profit margin as a percentage.$$

There is no practical difference between the two in modern pricing strategies.$$