【正文】 dable costs, opportunity costs: Our goal is to maximize gross profit 94. Strategic Objectives? Growth?? Profit?? Survival?? Stability? Cost?? …?10Pricing Strategy Alternatives? Competitionbased ? Costplus? Valueinuse? Custom based? Auction/Liquidation? …Strategic Objectives/Constraints11Business as a Game? But there are many games– Rule based games (., employment contract) follow the principle that for every action there is a reaction and to play well you must look ahead and reason backward– Freewheeling games (., contract negotiation) follow the principle that you can not take away more from the game than you bring to it and to play well you must maximize this value12 The Players in the Game CustomersCompetitors Company Complementors SuppliersParts of the Game? 1. Players – Who is playing? – Can you add players? – Do you have to play?? 2. Added Values– What amount of value disappears when you leave the game? – How can you increase valueParts of the Game? 3. Rules– Can we change the rules of the game?? 4. Tactics– Can we change perceptions of the game, using threats or promises?? 5. Scope– Can we go play the game somewhere else?Changing the Pricing Game? Conventional Pricing– Struggle among peting functions: marketing, sales, finance.– Reactive to market conditions and customer pressure– Subsequent to productmarket decisions? Strategic Pricing– Changes incentives to create support across functions– Proactive, policy driven– Early in the product development process 16Tactical Questions Commonly Asked Strategic Questions That Should be AskedWhat price do we need to cover our cost and profit objectives?What sales changes would be necessary or tolerable for us to profit from a price changes?Can we deploy a marketing strategy that will keep those sales changes within acceptable ranges?What costs can we afford to incur, given the prices we can achieve in the marketplace, and still earn a profit?What price is the customer willing to pay? Is our price justifiable given the objective value of our product or service to the customer?How can we better municate that value, thus justifying the price?What is the right price structure for the customer/for different customers?What prices do we need to meet our sales and market share objectives?What level of sales or market share can we most profitably achieve?What marketing tools should we use to win market share most costeffectively?Asking the Right Questions:17An unprofitable price? Pricing error Value munication defect Market share delusions Market segment error Product/service overbuilt Customer power Commoditization18Market Change Dynamics Leading to Commoditization? Entry of new petitors in market or segment? Imitation among petitors? Buyers develop capacity and confidence to measure functions and quality of products, services, and vendors? Experience and petition among suppliers reduces buyers39。 sense of risk19The SpecialtyCommodity ContinuumPriceHighLowLow High Service AdditionsSpecialtyCommoditytimeNicheExperience curveValue added strategyPrice pression/innovationBreaking the Commodity Cycle? Four possible strategies, – Value added strategy: Moving along the diagonal to increase price and service– Price pression/innovation: Moving along the diagonal reducing prices and services – Market focus: Staying up along the arc focusing on the clients only who would pay an additional price– Experience curve: Moving down along the arc ahead of anyone else21Embedding the Strategy Distributors/Salespeople incentives and expectations, skills, knowledge, tools. Customer incentives and expec