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Illustrates the term Pricing Strategies?
Pricing Strategies:
As developing pricing strategies for the global market, one should consider the external and internal environments of a company. This is very tough to assess the impact of such factors on the price of a product since these factors work into various combinations in different countries. A company requires deciding whether to adopt a common pricing strategy for the whole global market or to adopt a pricing strategy which suits individual nations. This is normally suggested that this is better to adopt individual pricing strategies for various markets in that the company is operating. Global companies call for to continuously review their pricing strategies because uncontrollable factors as like exchange rates and inflation change incessantly.
Black-Scholes-Merton This section illustrates the Black-Scholes (BS) model [BS73] and the pricing form under it by using a European call option that based on the assumption of
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