Scenario - Bridgemont Industries
Bridgemont Industries has operated on a global basis for over fifty years.It is one of the world's top rated producers of batteries and is renowned for having excellent products and outstanding customer service.In fact,the company is to receive a global award for its products and customer service expertise in the coming year.
Bridgemont is very proud of its employees and acknowledges that without their experience the company would not be rated at the top.The top management has a special reward planned for each customer service representative that will be presented at the global award ceremony in June.Bridgemont feels it is only fair to share a portion of its profits with the ones who helped generate it.
-When Bridgemont is selling its products in foreign markets,it must decide how to price them.Which of the following is least likely to be a factor for consideration when it comes to pricing of products being sold in foreign markets?

Question

Quizplus · Accepted Answer

The price of the product in the U.S. is least likely to be a factor for consideration when pricing products being sold in foreign markets. When pricing for foreign markets, companies typically consider associated costs, attractiveness of competitive products, how high the demand is for the product, and competitive product prices. However, the price of the product in the U.S. is not relevant to pricing decisions for foreign markets.