4. escalation
Reorganize the channel
of distribution
Adapt the product
Use new or more
economical tariff or tax
classifications
Assemble or produce
overseas
Hinweis der Redaktion
Pricing theories (dynamics)Price skimming (low volume, high markup)Price penetration (low price, high volume)Price elasticity (sensitivity to change)
Polycentric Pricing Strategy:Firm sets price in each country market independent of head-office involvementGeocentric Pricing Strategy: Firm sets a minimum floor price below which the product cannot be sold by its subsidiaries in any countryEthnocentric Pricing Strategy: Single worldwide price is set