How_to_decide_the_price_of_a_product

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There are a lot of ways to put a price on your product or service. These methods usually take into consideration the many important factors that affect pricing. Some of these information include market positioning, product demand and raw material costs. If you want exclusivity, then put premium tags on your products. If the cost of your raw materials often shift, then your selling price should be able to cover such fluctuations.Aside from these factors, one must also evaluate the pricing objectives of the business. Are you hoping to maximize sales quantity? Are you hoping to achieve short-term high profits? Are you planning to launch a price war against your competitors? Whatever the reason may be, it is necessary for you to study your product and your market to be able to achieve competitive pricing and optimum profits.However, what if you're just a stay home mom who's hoping to earn some money by selling baked goodies? Or maybe you're just an amateur photographer hoping to get some extra income during his free time through simple photography services. It may seem too extreme to immediately go into a complex price study for your venture. You may not have the time to gather all essential information nor the resources to fully analyze your pricing scheme.