BEC 口语3 MarketingSetting prices概要1.ppt

BEC 口语3 Marketing 市场营销 考点分布 Setting prices 产品定价 Advertising 广告 Packing 包装 Setting Prices 产品定价 How do you think a company should set the price for a new product if it wants to build sales quickly? Suggetsed Notes Factors to be considered 1. Costs: production, materials, labor, delivery, Ad… 2. take competition into consideration new products: be competitive equal or lower to its competitors’ price, why Brand image Suggested Notes 3. price: below what its competitors charge gain a substantial market share 考点再现 What is important when....? Setting prices for new products ● Production costs ● Competitors prices ● Demand ● Suggested Notes 1. Cost: In setting prices for new products, the first thing we must take into account is costs. cover fixed costs: insurance, rent, equipment, raw materials, labor… 2. Demand: Demand is strong: high price. And vice versa. 3. Price competition 3.1 The price decision is influenced by the extent to which firms decide to use price as a competitive tool. ★ Suggested Notes 3.2 Firms competing based on price competition generally set prices equal to or lower than competitors prices. ★ Suggested Notes The Disvantage of price competition Vicious circle: Competitors can easily reduce their prices to counter it. ★ Suggested Notes 4. non - price competition 4.1 quality (buyers generally believe price is closely related to quality.) ★ Suggested Notes 4.2 service → building brand loyalty → Customers are less likely to switch to another brand. Vocabulary perception 观念 brand loyalty 品牌忠诚度 fixed costs 固定成本 variable costs 可变成本 * *