Title: Calculate the price of the product or service.
Course: Make It Your Business (12151-12) > Section: Preparing a Marketing Strategy

Calculation should involve

- the terminology related to costs (e.g., fixed, variable, overhead)
- the cost of acquiring or producing the product or service
- all additional costs (e.g., rent, taxes, labor, insurance)
- the price charged by competitors for an equivalent product or service
- the anticipated/projected profit from the sale of the product or service
- the customer threshold for pricing.

Process/Skill Questions:

- Why is pricing important to the business?
- How do businesses determine a price for a product or service?
- Why is it important to be aware of the target market when determining the price of an item?
- How do originality and quality affect the price?
- Why is it a good idea to check the competition before setting prices?