Sellers that set a target price have an idea of the amount of operating profit that they expect from setting that price.

Question

Quizplus · Accepted Answer

When setting a target price, sellers typically consider their costs and desired profit margin, which would determine the expected operating profit from selling their product at that price. Therefore, sellers usually have an idea of the amount of operating profit they expect from setting a certain price.

Sellers That Set a Target Price Have an Idea of the Amount