Pricing constraints are
A)the controllable elements in a firm's marketing mix that allow it to charge the highest price possible.
B)formulas used in establishing break-even points and price elasticity of demand.
C)factors that limit the range of prices a firm may set.
D)factors that expand the range of prices a firm may set.
E)virtual boundaries used when setting the initial price on a new product.

Question

Quizplus · Accepted Answer

Pricing constraints are factors that limit the range of prices a firm may set. These factors can be internal, such as costs and desired profit margin, or external, such as competition and consumer perceptions of value. Pricing constraints are important to consider when setting prices because they can impact the profitability and success of a product or service.

Pricing Constraints Are