Differentiate between incremental and avoidable costs for your client and analyze contribution margins. Use at least three (3) quality academic resources in this assignment. Note: Wikipedia and other Websites do not qualify as academic resources.

Imagine that you work for a pricing strategy consulting business. Select a business that will be your next client.

 

Write a six to eight (6-8) page paper in which you:

 

  1. Create a scenario that would result in your client seeking advice from your consulting business.
  2. Create a pricing policy for the selected client and scenario.
  3. Analyze the best price setting process used to establish sustainable and profitable prices for the client.
  4. Evaluate key pricing considerations and strategies relative to the product life cycle of your client’s three (3) top sellers.
  5. Examine the challenges of effectively implementing a new or updated pricing strategy into the client that you selected.
  6. Differentiate between incremental and avoidable costs for your client and analyze contribution margins.
  7. Use at least three (3) quality academic resources in this assignment. Note: Wikipedia and other Websites do not qualify as academic resources.

 

Your assignment must follow these formatting requirements:

 

  • Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; references must follow APA or school-specific format. Check with your professor for any additional instructions.
  • Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required page length.

 

The specific course learning outcomes associated with this assignment are:

 

  • Assess and create pricing policies for various purposes including price objections, price increases, economic downturn, and promotional pricing strategies.
  • Analyze the price-setting process used to establish sustainable and profitable prices.
  • Evaluate key pricing considerations and strategies relative to the product life cycle.
  • Examine the challenges of effectively implementing pricing strategy into an organization.
  • Differentiate between incremental and avoidable costs and analyze contribution margins.
  • Use technology and information resources to research issues in strategic market pricing.
  • Write clearly and concisely about strategic market pricing using proper writing mechanics.
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