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State the Pricing and factors affecting pricing decisions
Price is the consideration in terms of money paid by consumers for bundle of benefits he/she derives by using service/product. In simple terms, it's the exchange value of services and goods in terms of money. Pricing (determination of price to be charged) is another significant element of marketing mix and it plays a vital role in the success of a product in market. If the price fixed is high, it's likely to have an adverse effect on sales volume. If, conversely, it is too low , it would adversely affect the profitability . Therefore, it has to be fixed after taking various aspects into consideration
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The percent of sales one product earns in relation to total market sales for all products in that category.
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