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Pricing Strategies are required for product placement,competition, marketing strategy and product promotion. In this competitive world to acquire a dominant place it is necessary that the firms have individual and competitive pricing strategy.

Various big companies like Wipro, Unilever, Cadbury's, Whirlpool, Godrej, are good examples for following good pricing strategies, which include strategies for market penetration, owning a niche, creating a demand for the product or having a monopoly in the market.

Pricing strategies contribute towards better revenues , retain customer, or market revenues, market segments , and allows you to keep a good hold in the market even when the market is showing a steep rise or downfalls. The most important element of an effective market strategy is the ability to maximise and protect the price of the product price is the final measure of customer value and competitive advantage.

Strategic pricing clarifies the relation between market segmentation and price , and delivers the tools your organisation needs to stay focussed on value as you determine break-even, define price elasticity, and analyse trade-offs between features and price points. Using strategic pricing tools yields a better positioning approach.

Strategic pricing understand costs, competition, values, and influence. Various strategic and analytic tools are available to identify various pricing strategies, to decide when and how to raise price and how to address price erosion situations.

To decide upon the best pricing it is very important to be knowledgeable about the fair price. Marketeers, strategists and advisors when deciding the price choose from different pricing methodology.

The price is of different types, a few best available pricing are:

1. Fair Price: It is the price at which the company sells the product with nominal profit margin.

2.Consumer Price: The company judges from the customer the price for selling the goods.

3. Market Price: The price of the goods depend upon the demand and supply of the goods the higher the demand higher the price of the goods . Lower demand, lesser the price of the goods.

4.Export Price: The Price of an international good is depended on the cost price plus the foreign exchange or the rupee dollar exchange margin. This can also be termed as cash , countertrade, or Barter).

5. Competitor Price: The price of the goods is decided upon the ongoing competition. Either the price of the product is increased or decreased looking at the competitors price. Usually this type of pricing is done for commodities.

6.Bid Price:This pricing is done for special goods like internet buying , antiques, exhibition purchases, the buys are made on a agreed price which is either or earlier bid or a future price.

7.Discounted Price:When the demand is very low ,or for financial schemes , loan schemes , discounted pricing is availed.

8.Future Price: Decide the price of the goods for a future date.

Pricing strategy includes not only penetration price, competitive price but also launch price, price wars, joint product pricing.

A few of the good examples available for competitive pricing are white goods, soaps etc. One can go through few of the best price-wars every day , of these the famous are Coca-Cola-Pepsico, Cadbury's -Nestle, Unilever -Godrej etc.

The hotel industry, the Airline industry has launched different pricing which is competitive as well is associated with oligopoly. The pricing offered can be categorised under export pricing, discounted pricing, future pricing and bid offers.

The market pricing of the goods like washing machines, mobiles, refrigerators offered from world's top most companies, like Samsung, LG, Sony, Whirlpool, are segmented according to various pricing categories.

Companies or the firms planning to have a foothold in the market should always keep these aspects in mind and then go ahead with a competitive product in a competitive market.

 
 
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