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Pricing

In: Business Guide for Strategic Management

Author

Listed:
  • Alfred-Joachim Hermanni

    (SRH Fernhochschule—The Distance Learning University)

Abstract

In contrast to cost orientation, demand-oriented pricing is primarily oriented towards the relationship between supply and demand. The higher the demand is, the higher the price of the offer can be. A note: If you explain to the buyers of high-priced goods why they are offered at such high prices (for example, because they are rare raw materials or exclusive quality), you can often enforce the prices. The reverse is rather rarely the case that a price decreases as a result of a declining demand.

Suggested Citation

  • Alfred-Joachim Hermanni, 2023. "Pricing," Springer Books, in: Business Guide for Strategic Management, chapter 0, pages 245-250, Springer.
    • Handle: RePEc:spr:sprchp:978-3-658-41367-5_35
    DOI: 10.1007/978-3-658-41367-5_35
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