Our Services

Get 15% Discount on your First Order

4 Week 6 Submission Student’s Name Course Due Date Pricing Strategy Value Pricing Strategy

February 23, 2024

Week 6 Submission

Student’s Name

Course

Due Date

Pricing Strategy

Value Pricing Strategy

Compared to other smart speakers on the market, Binga offers better sound quality, a stylish design, and a host of features. Value-driven pricing allows it to set prices that are more in line with the value it provides to clients than with the cost of goods sold or production expenses.
BEB and Implications on ROI

Assuming that the fixed cost is $10 million, the variable cost is $100 per unit, and the selling price is $299.99 per unit, the BEP for Binga is:

BEP= Fixed cost/Selling Price-Variable Cost

BEP=10,000/299.9-100

BEP=50,002units

Binga needs to sell 50,002 units to break even and start making a profit. The higher the BEP, the more sales Binga needs to make to cover its costs and start making a profit. This means that Binga has a higher risk and a lower ROI. The lower the BEP, the fewer sales Binga needs to make to break even and earn profit. This means that Binga has a lower risk and a higher ROI. Therefore, Binga should aim to lower its BEP by reducing its fixed cost, increasing its selling price, or decreasing its variable cost.

Product’s Price Elasticity

The quantity demanded changes more than the price, and the price elasticity is greater than one hence it is elastic (Ruan
et al., 2022). This depends on the availability of substitutes, the degree of necessity, the proportion of income spent, and the time horizon. The elasticity implies that lowering its price will increase its sales and revenue, while raising its price will decrease its sales and revenue.

Best pricing strategy

Value based pricing is the best pricing strategy for Binga since it reflects the value that it offers to its customers (Phillips, 2021). The strategy can be effective when there is a better understanding of the needs and preferences of the customers. Moreover, if Binga can effectively communicate its value proposition and segment its customers on their willingness to pay, it can reap the benefits of this pricing strategy.

Distribution Strategy

Distribution plan for Binga

The recommended distribution plan for Binga is a multichannel approach that incorporates both wholesale and retail distribution. By using this approach, the company can leverage the advantages of both retail and wholesale distribution.

Types of Retailers or Wholesalers

The types of retailers and wholesalers that I can recommend for Binga are online and specialty retailers, distributors, merchandisers and agents. These categories will help the company to reach its target market with ease. For example, by using online retailers, Binga will reach a large and diverse base of customers who are interested in the product. Specialty retailers will assist the company to attract customers who are looking for specific products and services. It will also enable the product create a distinctive brand image. Binga can use merchandisers to reach a large customer base that is price-sensitive; they can also provide accessibility and convenience to the customers. To reduce its inventory and transportation costs, Binga can use distributors who will also provide after-sales support to customers and expand its market coverage. Lastly, the agents will enable the company reach new or distant markets who they may not reach with the help of retailers.

Retail and Wholesale Marketing Decisions

The retail and wholesale marketing decisions will focus on the product, pricing, place and promotion. The product decisions will focus on quality, design; packaging and branding of the product reach the target market. The pricing decisions will include the use of discounts, convenient payment methods and setting of retail and wholesale prices. Some of the place decisions are selecting distribution channels, deciding in the intensity of distribution, areas to be covered and inventory management. Lastly promotion decision will focus on the objectives of promotion, budget, message and the media to use for promotion.

References

Ruan, J., Liu, G., Qiu, J., Liang, G., Zhao, J., He, B., & Wen, F. (2022). Time-varying price elasticity of demand estimation for demand-side smart, dynamic pricing.
Applied Energy,
322, 119520.

Phillips, R. L. (2021).
Pricing and revenue optimization. Stanford University Press.

>Business & Finance homework help

Share This Post

Order a Similar Paper and get 15% Discount on your First Order

Related Questions

A memorable example of a special occasion speech is Barack Obama’s acceptance speech in 2008 after he became the 44th President of the United States.

A memorable example of a special occasion speech is Barack Obama’s acceptance speech in 2008 after he became the 44th President of the United States. This was a significant event, as Obama was elected as the first-ever African-American president of the United States. The event was an outdoor rally in

make a proposal based on a weighing scale, thats the object i chose for my paper. also please make up a research question for me to answer later on the paper.

make a proposal based on a weighing scale, thats the object i chose for my paper. also please make up a research question for me to answer later on the paper. The part I want my paper to focus on is t

1 8 Understanding Adult Learning Theories Your Name Here Grand Canyon University Understanding Adult Learning Theories This first paragraph is

1 8 Understanding Adult Learning Theories Your Name Here Grand Canyon University Understanding Adult Learning Theories This first paragraph is your introduction. Begin with a strong grabber/intro statement go get the reader’s attention. Don’t forget your Purpose Statement. See this article for help with a Purpose Statement. 100-150 words. Summaruy

need a 2-3 PowerPoint slide introduction based on the paper attached below. add pics/graphs and/or relevant data – can take help from outside sources(original a

need a 2-3 PowerPoint slide introduction based on the paper attached below. add pics/graphs and/or relevant data – can take help from outside sources(original and genuine) apart from the given paper.

TO PREPARE: · Review this week’s Learning Resources, considering the many interacting factors that contribute to the development of psychopathology. · Consider

TO PREPARE: · Review this week’s Learning Resources, considering the many interacting factors that contribute to the development of psychopathology. · Consider how theoretical perspective on psychopathology impacts the work of the PMHNP. BY DAY 3 OF WEEK 1 Explain the biological (genetic and neuroscientific); psychological (behavioral and cognitive processes, emotional,

see attached Executive Summary on Computer Forensics Suites Learning Objectives and Outcomes You will complete the listing of reasons of purchase

see attached Executive Summary on Computer Forensics Suites Learning Objectives and Outcomes You will complete the listing of reasons of purchase of a particular suite and will write an executive summary on the process of identifying the computer forensics cases and cybercrime activity using the particular suite. Assignment Requirements After

TOPIC IS ABOUT ECTOPIC PREGNANCY 1. Describe the assigned obstetrical or newborn disorder, the pathophysiology of the disorder, and compare/contrast that to

TOPIC IS ABOUT ECTOPIC PREGNANCY 1. Describe the assigned obstetrical or newborn disorder, the pathophysiology of the disorder, and compare/contrast that to normal findings. 2. Discuss the common tre

Machine learning and artificial intelligence for bioinformatics

written report submission describing the supply chain finance situation of an assigned industry player, i.e., generic organization but each based on a

written report submission describing the supply chain finance situation of an assigned industry player, i.e., generic organization but each based on a real entity. It is NOT intended in this course for any teams to contact the companies directly, and instead analyses should be based on the wealth of secondary

Final Project Report: written report submission describing the supply chain finance situation of an assigned industry player, i.e., generic organization

Final Project Report: written report submission describing the supply chain finance situation of an assigned industry player, i.e., generic organization but each based on a real entity. It is NOT intended in this course for any teams to contact the companies directly, and instead analyses should be based on the

In your journal, reflect on ethical issues that you can foresee coming up as a forensic psychologist who does civil commitment assessments. How can you

In your journal, reflect on ethical issues that you can foresee coming up as a forensic psychologist who does civil commitment assessments. How can you as an assessment psychologist be cognizant of them, work through them, or avoid them? Also, consider the special populations mentioned in the article. How

EDLC 510 Teaching Strategies for Diverse Learners Essay Assignment Instructions Overview Classrooms are filled with students from diverse

EDLC 510 Teaching Strategies for Diverse Learners Essay Assignment Instructions Overview Classrooms are filled with students from diverse backgrounds with various ability levels. Educators need to embrace the diversity among their students through the examination of instructional strategies. This assignment will allow you to investigate strategies for teaching students with

Reply at least 120 words(ONE) Methods of estimating costs Estimation of the costs is required in terms of showcasing the project cost for a business

Reply at least 120 words(ONE) Methods of estimating costs Estimation of the costs is required in terms of showcasing the project cost for a business organisation. There are several methods in terms of considering the different types of costs. Some common methods can be applied in the context of an

What are the prospects for rehabilitating offenders? Should we assume that all offenders can be rehabilitated? Write a thoughtful and thorough post. Your

What are the prospects for rehabilitating offenders? Should we assume that all offenders can be rehabilitated? Write a thoughtful and thorough post. Your post must be posted by April 29, no later than 10:00 PM. There is a minimum 300-word requirement to discuss your response thoroughly. Be sure you properly

The Fourth Amendment Search and Seizure How does the Fourth Amendment’s idea of seizure relate to

The Fourth Amendment Search and Seizure How does the Fourth Amendment’s idea of seizure relate to arrest? Requirements, probable cause, suspicion, voluntary encounter.

please review the info The Four Agreements(Major assignment ) Using all of the 4 agreements by Ruiz, explain how to implement them in your own

please review the info The Four Agreements(Major assignment ) Using all of the 4 agreements by Ruiz, explain how to implement them in your own life… 4 solid paragraphs…major grade. Attachments Four Agreements If you cant open the folder above here is the link :

Discussion board Chapter 14: Data Collection, Testing and Observation Chapter 15: Data Collection, Interviewing Read Chapter 14 & 15 Discussion #

Discussion board Chapter 14: Data Collection, Testing and Observation Chapter 15: Data Collection, Interviewing Read Chapter 14 & 15 Discussion # 5 Friendly reminder – Phase 3 is due Discussion Question #6 (Assignment worth 1 point) What challenges do you encounter in data collection as it applies to research? What

Payne Equipment LLC. Your Name: 1. Read the case narrative. Identify the amount and type of uses outlined in the case narrative and identify the requested

Payne Equipment LLC. Your Name: 1. Read the case narrative. Identify the amount and type of uses outlined in the case narrative and identify the requested amounts and type of funding to supporting the uses (needs). Uses Sources 2. Identify the commitments that the insurance company is requiring as a

Our Services

4 Week 6 Submission Student’s Name Course Due Date Pricing Strategy Value Pricing Strategy

Share This Post

Related Questions

Use Our 6 Free Tools