 PricingPricing Elements and Price ElasticityPrice elasticitiesMarc Helmold
Chapter 2 in Total Revenue Management (TRM), 2020, pp 13-27 from Springer Abstract: Abstract The optimal pricing strategy of a company’s product or service range is a complex process and must be part of its (total) revenue management. Pricing can be defined in this context as the way of finding an optimum price for products and services offered. This strategic process is combined with the other revenue, pricing, distribution channel, economic pattern (supply and demand), competition, market demand and product or service characteristics. Pricing strategies help enterprise to determine prices that maximize revenues, profits and shareholder value while considering consumer and market demand. Pricing strategies have to be established in an analytical, systematic and optimal way to meet the customers’ expectations. All pricing concepts suggest to add value to any product or service. Value is something for which the customers are willing to pay for. In contrast to services, products are tangible and visible, so that the customers have a good understanding of what they can buy. Services are intangible and variable, so that certain elements must be incorporated when defining the appropriate pricing strategy. Kayapehlivan recommends certain elements to be considered in the hospitality field (Kayapehlivan 2015): Date: 2020 There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:spr:mgmchp:978-3-030-46985-6_2 Ordering information: This item can be ordered from DOI: 10.1007/978-3-030-46985-6_2 Access Statistics for this chapter More chapters in Management for Professionals from Springer |
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