Showing papers on "Limit price published in 2023"
TL;DR: In this article , the main objectives of marketing price policy and various pricing strategies available to achieve these objectives are explored, including the effect of tying a cheap product to an expensive one, the use of the number 9 to sell products better, the combination of frequently purchased products, the importance of details in advertising, and the emphasis on benefit or pleasure.
Abstract: This study aims to explore the main objectives of marketing price policy and the various pricingstrategies available to achieve these objectives. The research distinguishes between two types ofprices in marketing price policy: basic price, which is seller-oriented, and fair price, which isbuyer-oriented. Additionally, the study differentiates between price policy and pricemanagement policy, with the former involving setting the maximum price for the product and itspositioning, and the latter maintaining actual prices and regulating conditional prices through discounts and price discrimination.
The research delves into an extensive analysis of different marketing pricing strategies, such aspricing above or below market prices, pricing based on competitors or consumer properties, pricing based on demand dynamics, pricing with discounts, special conditions, and price tiers, and the strategies of penetrating prices and psychological pricing.
Furthermore, the study identifies three main objectives that a well-formulated pricing policy should achieve: achieving the company №9, financial objectives, meeting market realities, andsupporting product positioning, quality, and distribution. The research also highlights thepsychological effects that must be considered when forming marketing price policies. Theseinclude the effect of tying a cheap product to an expensive one, the Weber-Fechner law, the useof the number 9 to sell products better, the combination of frequently purchased products, theimportance of details in advertising, and the emphasis on benefit or pleasure. Additionally, thestudy emphasizes the use of the word “free”; the focus on time spent or saved, the taboo on unjustified price comparison, the power of context, testing different price levels, and the impact of price tag matters and likeness on sales.
TL;DR: In this article , a Deep Reinforcement Learning (DRL) approach is proposed to model trading agents that use limit orders, which uses a continuous probability distribution to model limit prices, while providing the ability to place market orders when the risk of no execution is more significant than the cost of slippage.
TL;DR: In this paper , the authors studied price-setting behavior in the Indonesian online market before and during the COVID-19 pandemic and found that price rigidities are influenced by implicit contracts.
Abstract: We study price-setting behavior in the Indonesian online market before and during the COVID-19 pandemic. We surveyed 297 online and offline markets dominated by micro and small enterprises (MSEs). The results show that the online market’s price-setting behaviors apply state-dependent pricing rules and price discrimination, evaluate prices more than once a year based on current information, and immediately respond to a shock. The main factor for price changes is input cost change. Meanwhile, price rigidities are influenced by implicit contracts. The probit model shows online markets face the high-competitive market, not applying a rule of thumb pricing, and frequently changing prices regarding shock.
TL;DR: In this article , the authors examined the joint effect of price limit and short-sale constraints on price discovery and found that alleviating short sale constraints could synergize with the relaxation of trading restrictions to improve price efficiency.
TL;DR: In this paper , a typical approach to price formation in marketing is described, an approach where the price formation process determines the setting of pricing goals as the first step, and the general sequence of price calculation stages is schematically presented.
Abstract: The article clearly states that pricing in marketing is a system of interrelated methods, concepts, tools, factors, etc., integrated into the market environment, which are united by the typical task of any economic system: maximizing efficiency while minimizing resource costs. A typical approach to price formation in marketing is described, an approach where the price formation process determines the setting of pricing goals as the first step, and the general sequence of price calculation stages is schematically presented. It is stipulated that in marketing activities, pricing is carried out taking into account three main factors: costs, demand and competitive environment, which are related to each other as follows: costs (appearing in the form of cost price) determine the lower limit of the price; demand (the amount of a good that consumers can buy at a given price) determines the upper limit of the price; awareness of the competitive environment allows for price positioning, the price scheme in marketing pricing is also presented. It has been demonstrated that there are objective market circumstances, in view of which the enterprise has no influence on the price situation, and therefore there is no point in spending resources (of various kinds) and efforts on the development of a price policy; and there are market circumstances when the role of price strategy is important and the enterprise must be active in matters of pricing. t is stipulated that one way or another, the pricing policy is focused on the consumer, and the consumer (a person, a group of consumers, a target audience) is the core, in relation to which marketing tools, methods and concepts are applied to satisfy this consumer, while the preferences and consumer goals of people are very different , a product that is practically worthless to one person can be extremely valuable to another, therefore, determining the value of a specific product for a consumer and strengthening the value of this product for him allows to reduce the sensitivity of consumers to the price, which in the process of price positioning allows to reduce the sensitivity of the consumer to prices and bring the price as close as possible to the upper limit of the price determined by demand. Based on the theoretical basis, information from open sources and own research, an algorithm for identifying points of effort in marketing pricing has been developed, which is quite simple and convenient in practical use and involves: 1. Determination of the type of competitive environment for the type of activity under study; 2. Determination of the need for activity of the subject of pricing; 3. Determining which "activity" is needed: price or non-price. It is emphasized that the application of this algorithm will allow efficient use of time and resources in the marketing activities of enterprises.
TL;DR: In this paper , the estimation method used for Japanese grant aid projects uses estimation standards developed for domestic construction projects in Japan with some modifications for overseas projects, but it is not possible to fully include the cost of the following risks in the target price; therefore, the difference between the target prices and the bid prices is assumed to occur.
Abstract: Japan has been implementing grant aid projects for developing countries for many years, but in recent years, many projects have experienced unsuccessful bidding (i.e., all bid prices are higher than the target price), due to a gap between the project target price and the bid price. For public works contracts in Japan, contracts may not be signed for more than the target price under any circumstances. Therefore, if the bid price exceeds the target price, a tender cannot be completed. The estimation method used for Japanese grant aid projects uses estimation standards developed for domestic construction projects in Japan with some modifications for overseas projects, but it is not possible to fully include the cost of the following risks in the target price; therefore, the difference between the target price and the bid price is assumed to occur. The target price is used as the reference price so that the final contract price may exceed the target price; instead, the price, including the upfront cost, is used as the maximum price for the project. In this way, the rate of unsuccessful bids for Japanese grant aid projects in bilateral contracts may decrease and the discrepancy between the target price and the bid price may disappear.
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TL;DR: In this paper , online data was collected for 350,000 products from over 65 fashion retailers in the U.S. and U.K. and a behavioral model of price salience and recall was discussed.
TL;DR: In this paper , the authors proposed and tested a conceptual model about the impact of price labeling strategy on consumers' perceived price difference and purchase intention, and analyzed differential influences of shopping channels and price levels on documented effects.
Abstract: PurposeBy conducting an online experiment, this paper proposes and tests a conceptual model about the impact of price labeling strategy on consumers' perceived price difference and purchase intention. The authors also analyze differential influences of shopping channels and price levels on documented effects. The paper provides strategic suggestions for online grocery store managers to adopt profit-maximizing labeling decisions.Design/methodology/approachIn a between-subject experiment, the authors simulated a shopping task with eight scenarios by exogenously manipulating price labeling strategies (unit price/retail price), sales channels (online/offline) and price levels (higher/lower than the average price). Participants are randomly assigned to one of the eight scenarios and asked to report their perceived price difference between the stimuli product and the average market price and their purchase intention on the stimuli product.FindingsExperimental results show that compared to the unit price, the retail price increases the perceived price difference. It shows that the unit price increases consumers' purchase intention when the product price is higher than the average market price. However, these effects only exist in the online shopping context.Originality/valueThis paper extends the study of price labeling strategy to an online shopping context and examines the mediation effect of the perceived price difference.