Marketing Exam Review--Pricing, Product/Service Management, & Risk
Part 1
What are 5 reasons that price is important? (586).
1. ______________________________________________________________________________________________________________
2.
_____________________________________________________________________________________________________________
3. ______________________________________________________________________________________________________________
4. ______________________________________________________________________________________________________________
5. ______________________________________________________________________________________________________________
What are the 4 main goals of pricing? (587)?
1. ______________________________________________________________________________________________________________
2.
_____________________________________________________________________________________________________________
3. ______________________________________________________________________________________________________________
4. ______________________________________________________________________________________________________________
What are the factors that affect pricing? Is it internal or external??? (Circle Internal/External) (591)
1. ___________________________________________=
6. ___________________________________________=
internal or external
2.
internal or external
___________________________________________=
7.
internal or external
___________________________________________=
internal or external
3. ___________________________________________=
8. ___________________________________________=
internal or external
internal or external
4. ___________________________________________=
9. ___________________________________________=
internal or external
internal or external
5. ___________________________________________=
10. ___________________________________________=
internal or external
internal or external
1
Part 2
What is the difference between inelastic demand and elastic demand? (592)?
What are the 5 factors that determine how elastic demand is?-explain in your OWN words. (592/594)?
1. ______________________________________________________________________________________________________________
2.
_____________________________________________________________________________________________________________
3. ______________________________________________________________________________________________________________
4. ______________________________________________________________________________________________________________
5. ______________________________________________________________________________________________________________
What are price fixing and price discrimination? Why are they bad? (595)
What are the two types of Cost-Oriented pricing, explain in your OWN words. (605)?
1. __________________________________=
2. __________________________________=
Explain Demand oriented pricing in your own words (605)
Part 3
Explain competition oriented pricing in your own words (605)
Can a company use more than one pricing strategy? Yes or no, if yes, why would they do that?
Fill in the chart below about Product life cycle, competition and pricing. use pg 717-
2
Part 3B
Product Life Cycle Stage & Explain
Pricing strategy(from earlier in this packet)
used and WHY!
1.
2.
3.
4.
What are the steps for DETERMINING price (618)
1. __________________________________=
4. __________________________________=
2.
5.
__________________________________=
6.
__________________________________=
__________________________________=
3. __________________________________=
Part 3C
Pricing Techniques
Psychological pricing
Explain each in your own words& give a time to use
Odd-Even
Prestige
Multiple Unit
Bundle
3
Promotional
Every Day Low Prices
(&Price lining)
Discount Pricing
Cash Discount
Quantity Discount
Trade Discount
Seasonal Discount
Promotional
Discounts &
Allowances
Skimming Price
Penetration Pricing
One price policy vs
flexible price policy
Clayton Act
Robinson-Patman
Act
Minimum Price
Law (Unfair Trade
Practices Law)
4
Part 4
Product Planning Techniques
Explain in your own words, then give example
of time to use this idea
Product Line
Product Item
Product Width
Product Depth
Product Mix Strategy
7 steps in product development (711)
1.
2.
3.
4.
5.
6.
7.
Why Develop Existing products?
Line Extension
Product Modification
Deleting a product (reasons why?)
How to manage product in Introduction Stage?
717-724
How to manage product in growth Stage? Ch 30
717-724
How to manage product in maturity/peak Stage?
Ch 30 717-724
How to manage product in decline stage? Ch 30
717-724
5
How can you position your product, explain each
720
1.
2.
3.
4.
What are the functions of packaging (739)
What is the FTC, why is it important (743)
What is the FDA, why is it important (743)
Express Warranty (753) give an example
Full Warranty (753) give an example
Limited warranty (753) give an example
Implied warranty (753) give an example
Part 4 B Risks p 798
Examples/Definition
Internal Risk
External Risk
Economic Risk
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Natural Risk
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Human Risk
6