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TEXT IV
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Key words:
price – цена,
price range – колебание цен,
pricing –
ценообразование,
terms of sale – условия продажи,
domestic sales – продажи внутри страны,
discount – скидка,
cost – стоимость, затраты,
foreign sales –
сбыт за границей,
evaluation – оценка,
variables – переменные величины,
net loss – чистый убыток,
objective – цель.
Pricing
Proper pricing and choice of terms of sale and payment
are critical elements in selling a product
or service internation-
ally. Pricing is the most problematic, even for the experienced
exporter.
Pricing considerations.
At what price should the firm sell its product in the foreign
market?
Does the foreign price reflect the product’s quality?
Is the price competitive?
What type of discount (trade, cash, quantity) and allowances
(advertising, trade-off) should the firm
offer its foreign custom-
ers?
Should prices differ with market segment?
What should the firm do about product line pricing?
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Are the prices going to be viewed by the foreign government
as reasonable or exploitative?
As in the domestic market, the price at which a product or
service is sold directly determines a firm’s revenues.
It is essential
that a firm’s market research includes an evaluation of all of the
variables that may affect the price range for the product or ser-
vice. If a firm’s price is too high, the product
or service will not be
sold. If the price is too low, export activities may not be sufficiently
profitable or may create a net loss.
The traditional components for determining proper pricing are
costs,
market demand, and competition. These categories are the
same for domestic and foreign sales and must be evaluated in view
of the firm’s objective in entering the foreign market. An analysis
of each component from an export perspective
may result in export
prices that are different from domestic prices.
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