In this chapter, we’ll explore the role of price in the marketing mix. Key concepts:
What is “Price”
Buyer psychology
3 objectives of sales promotions
Challenges to setting price
In the featured case study, Price War in Mariachi Plaza, you will learn how price decreases as demand decreases (known as “elastic”) and examine the pricing decisions a budding Mariachi band might face and how it can leverage the remaining marketing mix elements to differentiate itself.