Learning Activity: Pricing Strategy

Research

Research on the Strayer University Library and/or the Internet to identify a company that manufactures products or offers a service. Then take some time to investigate the company and their business.

Note: In the Strayer University Library, students can look at competitor information using Nexis Uni.

Specifically you should research for the following:

• What products or services do they sell?

• Is the company a market leader? At the bottom? Or somewhere in between? What is your justification?

• What is the company’s key objective (that is, are they focused on profits, market share, growth, brand 

• positioning, etc.)?

• How do their products or services differ from those offered by the competition?

• What are some of their major expenses (fixed and variable) they incur on the products manufactured or services provided?

Summary Instructions

After you have researched the questions above, you will then choose a pricing strategy (competitive analysis, cost-based pricing, or value-based pricing) that the company you are analyzing should use to forecast its costs on items or services it will sell.

Once you have identified a pricing strategy, and have come up with a price for a product or service, complete the cost +

profit formula.

Submit a 1-page summary in which you:

• Identify the pricing strategy selected.

• Provide 2–3 sentences on why that strategy was selected.

• Share the cost + profit formula using the information you gathered from your investigation and the results. Be sure you are able to explain how you came up with the cost based on the information from your investigation.

Your assignment must follow these formatting requirements:

• Be typed, double spaced, using Times New Roman font, 12 point. 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 is not included in the required assignment page length.