Research Paper on:
Pricing Strategy and Price Elasticity

Unformatted Sample Text from the Research Paper:
continues to increase well past the point at which nearly everyone believed it could not surpass, the marketing mix continues to become even more significant for marketers and their employers.  The four Ps - product, price, place and promotion - provide a method of breaking down the marketing mix into manageable and maneuverable components. As more marketers seek  the attention of more customers in a relatively finite number of outlets, close management of each "p" is critical to the success of a product, service or business.  Price is always an important point to closely consider and monitor, but never more so than in times of economic downturn such as that which  we currently are experiencing. Here, the marketing department has recommended that the company lower prices by 10 percent. The purpose here is to assess the effects of this  action on profits and competitive responses. General Pricing Considerations The product is seen as being  the most critical of all the Ps of the marketing mix. If the product is of poor quality or does not perform to promised levels, then all the other  Ps are superfluous. When the product is sound, however, price will be important as well. Goods and services can vary in their quality, function or design to appeal  to varying tastes and budgets. The oldest school of management accounting holds that price should be determined on the basis of cost of  production (Doyle, 1995). Other approaches to pricing have been in use for several years, and of course marketers must never forget the supply-and-demand model that so many economists say