A ________ pricing strategy for an offering begins with an assessment of customer needs and perceptions. Then a target price is set based on customer perceptions of worth.
A) cost-based
B) target costing
C) value-based
D) value-added
E) competition-based

Question

Quizplus · Accepted Answer

A value-based pricing strategy focuses on the perceived value of the product or service in the eyes of the customer. The price is set based on the customer's assessment of the product's worth, rather than the cost of production or competition in the market. This approach aims to maximize profitability by charging a price that aligns with the customer's perceived value, which can increase customer satisfaction and brand loyalty.

A ________ Pricing Strategy for an Offering Begins with an Assessment