Reference no: EM133574257

Question: There are two ways to determine the price of a product. The finance dept. would say first determine the costs then add a mark-up and now you have a price. From this perspective as long as costs remain constant the product's price never changes. The marketing perspective however views cost as just one variable in the process of setting a price. From a marketing perspective, what are other variables that affect the price of a product? Discuss the different pricing strategies such as price skimming and penetration pricing and provide an example of a company that uses each of these strategies.