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The Pricing Decision

  • Andrew M. McCosh
  • Michael S. Scott Morton

Abstract

The determination of a selling price for a product is a very important decision in any business. The price determines the amount of the revenues to be received, materially influences the demand for the product, and affects the “image” of the product and the company in the public mind. In setting a price, a manager is, in many businesses, making the most important decision available to him after that of going into the business in the first place. In this chapter, as in the three preceding, we shall consider the economic facts of the decision, and then illustrate the use of a time-shared decision support model for pricing. This model has been implemented on a visual display system.

Keywords

Demand Curve Maximum Profit Price Policy Full Cost Price Decision 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Notes

  1. 1.
    Donald V. Harper, Price Policy and Procedure (New York: Harcourt Brace Jovanovich, Inc., 1966), p. 38.Google Scholar
  2. 2.
    Alfred Richard Oxenfeldt, Pricing for Marketing Executives (San Francisco: Wadsworth Publishing Co., 1961), p. 27.Google Scholar
  3. 3.
    Abraham David Hannath Kaplan, Joel B. Dirlam, and Robert F. Lanzillotti, Pricing in Big Business: A Case Approach (Washington, D. C.: The Brookings Institution, 1958), p. 258.Google Scholar
  4. 4.
    N. W. Chamberlain, The Firm: Microeconomic Planning and Action (New York: McGraw-Hill, 1962) especially Chapter 9.Google Scholar

Copyright information

© Andrew M. McCosh and Michael S. Scott Morton 1978

Authors and Affiliations

  • Andrew M. McCosh
  • Michael S. Scott Morton

There are no affiliations available

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