Here is the synopsis of our sample research paper on Pricing Strategy for Alma Products Inc.. Have the paper e-mailed to you 24/7/365.
Essay / Research Paper Abstract
This 4 page paper considers the different pricing strategies that Alma Products Inc could follow when launching a new charcoal burner on the market. The paper outlines different approaches before suggesting an appropriate strategy and a break even analysis. The bibliography cites 1 source.
Page Count:
4 pages (~225 words per page)
File: TS14_TEalma01.rtf
Buy This Term Paper »
Unformatted sample text from the term paper:
dimensions the determining factors are quality of the product against the price of the product. Economy pricing is a low price for
a low quality product, this would not be the right strategy when trying to sell a product such as the Easy Embers Charcoal Starter which has a competitive advantage of
differentiation; the following of this policy would result in lowering the potential profits, this may also limit the potential demand with a product being perceived as a low quality.
The converse position would be premium pricing, this is where there is a high quality goods and a high price can be charged
(Kotler, 2003). This is suitable for products where there is a large or significant advantage. In the case of the Easy Embers Charcoal Starter there is a significant competitive advantage,
but it is not the only product on the market making this less viable. Another product is already on the market, but has not managed to establish market share. This
is a potential pricing strategy that would allow profits to be made in the longer term by valuing the product at a higher price. However, this may also be difficult,
as higher priced products will take longer to establish market share, this is also a product that may be emulated quickly, so the competitive advantage of the product design may
not last long. As such, to gain a long term competitive advantage another advantage needs to be developed, such as brand recognition or reputation. Low levels of sales may not
be the best approach to develop a brand name a further differentiation advantage or alternatively seek the cost advantage which will require economies of scale to be realised. Therefore, although
...