Matakuliah : J0084 / Introduction to Management
and Business
Tahun
: 2007
Versi
:1/3
Pertemuan 22 (Twensecond Meeting)
Making and Determining
Price
Halaman 1
Learning Outcome
Student should be able to show product line,
and product mix in relation to market target,
and also calculate factors which affect
price determination decision -> C3
Halaman 2
Learning Outline
• Background of Product
• Identify Market Target
• Create New Products
• Product Differentiation
• Price Determination Strategy
• Decision of Additional Price
Halaman 3
1. Background of Product:
Convenience product
Shopping product
Specialty product
Halaman 4
a. Product Line
b. Product Mix
c. To Increase Product Ease
d. Product Life Cycle
Halaman 5
Product Life Cycle
Maturity
Sales
Volume
Growth
phase
Decline
phase
Introduction
phase
Time
Halaman 6
2. To Identify Target Market
Consumer Markets
Industrial Markets
Halaman 7
a. Factors Influencing Target Market:
1) Demographics
2) Geography
3) Economic factors
4) Social values
Halaman 8
b. Using of E-Marketing to Broader Target Market
Using internet to execute designing, price
determination, distribution and promotion.
E-marketing is a part of e-commerce: using
electronic technology to execute various of
business transaction, such as product selling
and information acquisition concerning
consumer more efficient.
Halaman 9
3. Create New Products
 Fashion obsolescence
 Technological obsolescene
Halaman 10
a. Using Marketing Research
to Create New Products
b. Using Research and Development
to Create New Products
Intellectual
property
right
Halaman 11
c. Steps needed to Create New Product
1) Develop product idea
2) Evaluate properness of product idea
3) Design and test product
4) Distribute and promote product
5) Audit product
Halaman 12
4. Product Differentiation
a. Unique Design
b. Unique Packaging
c. Unique Branding
Family branding Individual branding
Producer brands
Store brands
Generic brand
Advantages of branding
Halaman 13
5. Price Determination Strategy
a. Production Cost
b. Stock availability
c. Competitor Price
Penetration pricing
Defensive pricing
Predatory pricing
Prestige pricing
Price Elastic
Price Inelastic
Halaman 14
d. Break-Even Point
Fix Cost
Impasse quantity =
Unit Price – Variable Cost
For example: Fix cost
= US $ 4.000,00
Unit price
= US $ 1,80
Variable cost = US $ 0,60
US $ 4.000,0
Impasse quantity =
US $ 1,80 – US $ 0,60
= 3.333
Halaman 15
6. Decision of Additional Price
a. Discount
b. Sale Price
c. Credit Requirement
Halaman 16