The pricing model in the text has six distinct steps in the pricing process. In the second step a firm would:
A)estimate demand and revenue.
B)select the appropriate pricing formula.
C)identify pricing objectives and constraints.
D)scan competitors for price lines of similar products or services.

Question

Quizplus · Accepted Answer

In step two, a firm would estimate demand and revenue, which would help to determine the appropriate pricing strategy to use. This step is important in setting the price for a product or service, as it allows a company to understand the potential demand for its offering and how much revenue it can generate at different price points.

The Pricing Model in the Text Has Six Distinct Steps