After establishing pricing goals,managers should estimate total revenue at a variety of prices.Next,they should _____.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) choose the ROI target
B) set corresponding cost for each price
C) estimate industry supply
D) implement pricing segmentation
E) establish geographic pricing heuristics

Question

Quizplus · Accepted Answer

After estimating total revenue at different prices, managers need to set corresponding costs for each price to determine the profitability of each price point. This involves understanding the fixed and variable costs associated with producing and selling the product or service at each price point. With this information, managers can determine which price points will generate the most profit and market share.

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