George and Alice Renfro decided to start a family business in 1990 to produce chowchow, a Southern regional food. To determine how they would price the chowchow, the Renfros had to examine (1) the demand for the product the cost to distribute the product to area grocery stores. The Renfros are doing which step of the price-setting process?
A) identifying pricing constraints
B) estimating break-even points and revenue points
C) setting the list price
D) selecting an approximate price level
E) determining cost, volume, and profit relationships

Question

Quizplus · Accepted Answer

Identifying pricing constraints is the first step in the price-setting process.

George and Alice Renfro Decided to Start a Family Business