abhishreshthaa
Abhijeet S
Consumer Behaviour
Greaves (1995, p. 30) states “It is not the cost of the materials that determines the products value, but rather the customers perception of that value”.
In China, for instance, price is said to be “a major determinant in most purchasing decisions for the vast majority of the population”
The price is essentially determined by the amount the consumer is willing to pay for the product and their attitudes towards image and positioning.
Germany’s frozen ready meals market, for instance, has found that by reducing its prices, customers are lured to the market.
Sales are also “becoming progressively oriented towards larger packs”. Where consumers appear to be price driven, the organization may find it imperative that they uphold a competitive price, while image then becomes an important associate.
It is from this position that the paper seeks to demonstrate how international pricing can be used to gain a competitive advantage.
Greaves (1995, p. 30) states “It is not the cost of the materials that determines the products value, but rather the customers perception of that value”.
In China, for instance, price is said to be “a major determinant in most purchasing decisions for the vast majority of the population”
The price is essentially determined by the amount the consumer is willing to pay for the product and their attitudes towards image and positioning.
Germany’s frozen ready meals market, for instance, has found that by reducing its prices, customers are lured to the market.
Sales are also “becoming progressively oriented towards larger packs”. Where consumers appear to be price driven, the organization may find it imperative that they uphold a competitive price, while image then becomes an important associate.
It is from this position that the paper seeks to demonstrate how international pricing can be used to gain a competitive advantage.