Question: When selecting the methodology by which a company will calculate its prices, which method and associated rationale is increasingly recommended, and why? a. The value-based

When selecting the methodology by which a company will calculate its prices, which method and associated rationale is increasingly recommended, and why?

The value-based method, because it offers the greatest potential for competitive differentiation.

The target profit method, because it guarantees that every sale will more than cover the costs of making and marketing an offering.

The value-based method, because it makes price the primary driver of the exchange between buyer and seller.

The competition-based method, because it guarantees that a companys offerings will experience similar demand.

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