After establishing pricing goals,managers should estimate total revenue at a variety of prices.What should they do next? (Only after performing this task are they are ready to estimate how much profit and how much market share can be earned at each possible price. )
A) Implement pricing segmentation.
B) Set a corresponding cost for each price.
C) Choose the ROI target.
D) Estimate industry supply.

Question

Quizplus · Accepted Answer

After estimating total revenue at various prices, managers should set a corresponding cost for each price. This means that managers need to understand the costs associated with producing and selling products at each price point. By estimating costs, managers can accurately determine the profit margin for each price point and make informed decisions about pricing strategy. Once managers have estimated costs, they can then estimate how much profit and market share can be earned at each possible price.

After Establishing Pricing Goals,managers Should Estimate Total Revenue at a Variety