chap018 pricing.ppt

PricingforInternationalMarkets Introduction Pricingstrategyformsanothercornerstoneofaglobalmarketingprogram itrepresentsoneofthemostcriticalandcomplexissuesinglobalmarketing duetoeconomic financial andmathematicalimplications Priceistheonlymarketingmixelementthatgeneratesrevenues AllotherelementsentailcostsNeedtodevotespecialcareinpricingproductsasamanager sfiduciaryresponsibilityistomarketproductsataprofitandincreaseshareholderwealthAcompany sglobalpricingpolicymaymakeorbreakitsoverseasexpansionefforts duetoforeignexchangecomplications Firmsalsofacesignificantchallengesincoordinating standardizingoradapting theirpricingstrategiesacrossvariouscountriestheyoperateinThischapterreviewstheplethoraofinternationalpricingstrategyissues PricingObjectives Ingeneral pricedecisionsareviewedintwoways Pricingasanactiveinstrumentofaccomplishingmarketingobjectives orPricingasastaticelementinabusinessdecision Themorecontrolacompanyhasoverthefinalsellingpriceofaproduct thebetteritisabletoachieveitsmarketinggoals Itisnotalwayspossibletocontrolendprices Broaderproductlinesandthelargerthenumberofcountriesinvolved themorecomplextheprocessofcontrollingpriceschargedtotheenduser 4 定价策略 1 新产品定价策略撇脂定价策略 新产品一开始以较高的价格面市 适用于市场容量有限 竞争不很急迫 目标消费群体有较高的购买力或较强的购买意愿 化妆品 中科灵芝 抗癌 渗透定价策略 新产品一开始以较低的价格面市 试图在短期内迅速打开市场 适用于市场容量大 竞争迫在眉睫 并以市场占有率为目标的企业 满意定价策略 以顾客和厂家双方都较为满意的价格推出新产品 5 2 心理定价策略 尾数定价策略 对价值较低的商品 故意使其价格为非整数 小数点后面带一尾巴 洗衣粉 3 9元 袋 给人定价准确的感觉 整数定价策略 对价值昂贵的商品 使其价格为整数 不必画蛇添足 物有所值 一套名牌西服 定价1500元 不必1498 8元 声望定价策略 根据顾客求名心理来给名牌产品定价 使其高于同类普通商品 名牌之所以名牌 在于其高质量优质服务和较高价格 品牌价值 招徕定价策略 以低于一般市价 个别甚至低于营业成本销售以招徕顾客 金润发电烤鸡1元 只 6 3 折扣定价策略 数量折扣 当顾客购买量达到一定限度时 给予价格折扣 鼓励顾客大量购买 关键确定折扣点和折扣率 分累计数量折扣和非累计数量折扣 现金折扣 在允许顾客分期付款的情况下 如果买主要求提前付清货款 可在原基础上给以折扣 如 2 10 净30天 表示付款期限30天 若在前10天付清 2折 商业折扣 根据各种不同类型的中间商在商品流通过程中作用大小的不同给与不同的价格折让 又称功能折扣 通常给总经销商和批发商的折扣高于零售商 例如 制造商报价 1000元 折扣30 10 及5 零售商700 批发商630 总585 季节折扣 适用于季节性消费商品 服装等 为处理存货 回收资金 加速周转 7 4 产品组合定价策略 关联产品定价 主件产品低价 附件产品高价 相机 胶卷 打印机 墨盒系列产品定价 产品拉开档次和差价 适应不同购买力消费群体 南京烟 今世缘酒 8 企业如何应对价格战 竞争对手降价 1 本企业也降价2 本企业价格不变3 本企业提价 企业应对策略 1 增加服务内涵2 展开渠道竞争3 加强广告攻势 价格策略 非价格策略 了解竞争者意图 评估可能的冲击 9 竞争对手降价是否影响你的市场份额或盈利 你是否采取行动 否 是 否 是 维持现价 监控对手行动 1 降价 扩大销售 2 维持现价 提升形象 3 提价 瞄准对价格敏感低的顾客群 1 产品重新定位 推出低价竞争品牌 2 战略撤退 推出更优质的品牌 短期 中长期 案例 Heublein公司的司木露伏特加酒是引领美国市场的驰名品牌 后来市场上出现了另一个品牌Wolfschmidt 该品牌定位与司木露品质相同 售价却便宜一美元 问Heublein公司应该如何行动 ParallelImportationorGrayMarkets Onaccountofcompetition firmsmayhavetochargedifferentpricesfromcountrytocountryIninternationalmarketing thiscausesavexingproblem ParallelImportationorGrayMarketsParallelimportsdevelopwhenimportersbuyproductsfromdistributorsinonecountryandselltheminanothertodistributorswhoarenotpartofthemanufacturer sregulardistributionsystemThepossibilityofaparallelmarketoccurswheneverpricedifferencesaregreaterthanthecostoftransportationbetweentwomarkets ParallelImportationorGrayMarkets Forexample theulcerdrugLosecsellsforonly 18inSpainbutgoesfor 39inGermany andtheheartdrugPlavixcosts 55inFranceandsellsfor 79inLondonThus itispossibleforanintermediarytobuyproductsincountrieswhereitislessexpensiveanddivertittocountrieswherethepriceishigherandmakeaprofitExclusivedistribution apracticeoftenusedbycompaniestomaintainhighretail marginsencourageretailerstostocklargeassortments ortomaintaintheexclusive qualityimageofaproduct cancreateafavorableconditionforparallelimporting EffectsofParallelImportation Parallelimportscandolong termdamageinthemarketfortrademarkedproductsCustomerswhounknowinglybuyunauthorizedimportshavenoassuranceofthequalityoftheitemtheybuy ofwarrantysupport orofauthorizedserviceorreplacementpartsIfaproductfails theconsumerblamestheownerofthetrademark andthequalityimageoftheproductissulliedCompaniescanrestrictthegraymarketbypolicingdistributionchannelsInsomecountriesfirmsgethelpfromthelegalsystem ApproachestoInternationalPricing Full CostPricing nounitofasimilarproductisdifferentfromanyotherunitintermsofcost whichmustbearitsfullshareofthetotalfixedandvariablecost Thereareseveralapproachestopricingininternationalmarkets whichinclude 2 Variable CostPricing firmsregardforeignsalesasbonussalesandassumethatanyreturnovertheirvariablecostmakesacontributiontonetprofit Pricesareoftensetonacost plusbasis i e totalcostsplusaprofitmargin Thisisapracticalapproachtopricingwhenacompanyhashighfixedcostsandunusedproductioncapacity ApproachestoInternationalPricing 3 SkimmingPricing Thisisusedtoreachasegmentofthemarketthatisrelativelypriceinsensitiveandthuswillingtopayapremiumpriceforaproduct 4 PenetrationPricing Thisisusedtostimulatemarketgrowthandcapturemarketsharebydeliberatelyofferingproductsatlowprices Itisusedtoacquireandholdshareofmarket PriceEscalation CostsofExporting thetermrelatestosituationsinwhichultimatepricesareraisedbyshippingcosts insurance packing tariffs longerchannelsofdistribution largermiddlemenmargins specialtaxes administrativecosts andexchangeratefluctuations Priceescalationreferstotheaddedcostsincurredasaresultofexportingproductsfromonecountrytoanother Thereareseveralfactorsthatleadtohigherprices PriceEscalation contd 2 Taxes Tariffs andAdministrativeCosts Thesecostsresultsinhigherprices whicharegenerallypassedontothebuyeroftheproduct 3 Inflation Inflationcausesconsumerpricestoescalateandtheconsumerisfacedwithrisingpricesthateventuallyexcludemanyconsumersfromthemarket PriceEscalation contd 4 MiddlemanandTransportationCosts Longerchannellength performanceofmarketingfunctionsandhighermarginsmaymakeitnecessarytoincreaseprices 5 ExchangeRateFluctuationsandVaryingCurrencyValues Currencyvaluesswingvis visothercurrenciesonadailybasis whichmaymakeitnecessarytoincreaseprices ExportStrategiesUnderVaryingCurrencyConditions Stress pricebenefitsExpandproductlineandaddmorecostlyfeaturesShiftsourcingandmanufacturingtodomesticmarketExploitexportopportunitiesinallmarketsConductconventionalcash for goodstradeUsefull costingapproach butusemarginal costpricingtopenetratenew competitivemarkets WhenDomesticCurrencyisWEAK Engageinnonpricecompetitionbyimprovingquality delivery andafter saleserviceImproveproductivityandengageinvigorouscostreductionShiftsourcingandmanufacturingoverseasGiveprioritytoexportstorelativelystrong currencycountriesDealincountertradewithweak currencycountriesTrimprofitmarginsandusemarginal costpricing WhenDomesticCurrencyisSTRONG SOURCE S TamurCavusgil UnravelingtheMystiqueofExportPricing BusinessHorizons May June1988 figure2 p 58 ExportStrategiesUnderVaryingCurrencyConditions SOURCE S TamurCavusgil UnravelingtheMystiqueofExportPricing BusinessHorizons May June1988 figure2 p 58 Speedrepatriationofforeign earnedincomeandcollectionsMinimizeexpendituresinlocal hostcountrycurrencyBuyneededservices advertising insurance transportation etc indomesticmarketMinimizelocalborrowingBillforeigncustomersindomesticcurrency Keeptheforeign earnedincomeinhostcountry slowcollectionsMaximizeexpendituresinlocal hostcountrycurrencyBuyneededservicesabroadandpayfortheminlocalcurrenciesBorrowmoneyneededforexpansioninlocalmarketBillforeigncustomersintheirowncurrency WhenDomesticCurrencyisWEAK WhenDomesticCurrencyisSTRONG LeasinginInternationalMarkets Leasingopensthedoortoalargesegmentofnominallyfinancedforeignfirmsthatcanbesoldonaleaseoptionbutmightbeunabletobuyforcash Leaserevenuetendstobemorestableoveraperiodoftimethandirectsaleswouldbe Equipmentleasedandinusehelpstosellothercompaniesinthatcountry Leasinghelpsguaranteebettermaintenanceandserviceonoverseasequipment Dumping OneapproachclassifiesinternationalshipmentsasdumpediftheproductsaresoldbelowtheircostofproductionTheotherapproachcharacterizesdumpingassellinggoodsinaforeignmarketbelowthepriceofthesamegoodsinthehomemarket Economistsdefinedumpingdifferently WorldTradeOrganization WTO rulesallowfortheimpositionofadutywhengoodsaredumpedAcountervailingdutyorminimumaccessvolume MAV whichrestrictstheamountacountrywillimport maybeimposedonforeigngoodsbenefitingfromsubsidieswhetherinproduction export ortransportation ApproachestoLesseningPriceEscalation Methodsusedtoreducecostsand thus lowerpriceescalationinclude LoweringCostofGoods Firmscanlowercostsbyeliminatingcostlyfeaturesinproductsorbymanufacturingproductsincountrieswherelaborcostsarecheaper LoweringTariffs Firmscanlowerpricesbycategorizingproductsinclassificationswherethetariffsarelower LoweringDistributionCosts Firmscandesignchannelsthatareshorter havefewermiddlemen andbyreducingoreliminatingmiddlemanmarkup UsingForeignTradeZones Firmscanmanufactureproductsinfreetradezoneswheretheincentiveofferedistheeliminationoflocaltaxes whichkeeppricesdown CountertradeasaPricingTool Barter isthedirectexchangeofgoodsbetweentwopartiesinatransactionCompensationdeals isthepaymentingoodsandincashCounter purchaseoroff settrade theselleragreestosellaproductatasetpricetoabuyerandreceivespaymentincashandmayalsobuygoodsfromthebuyerforthetotalmonetaryamountinvolvedinthefirstcontractorforasetpercentageofthatamount whichwillbemarketedbythesellerinitshomemarketBuy back Thistypeofagreementismadetheselleragreestoacceptaspartialpaymentacertainportionoftheoutputthatareproducedfromtheplantormachinerythataresoldtothebuyer Countertradeisapricingtoolthateveryinternationalmarketermustbereadytoemploy Therearefourdistincttransactionsincountertrading whichinclude WhyPurchasersImposeCountertradeObligations ToPreserveHardCurrency ToImproveBalanceofTrade ToGainAccesstoNewMarkets ToUpgradeManufacturingCapabilities ToMaintainPricesofExportGoods ToForceReinvestmentofProceeds ProactiveCountertradeStrategy Isthereareadymarketforthegoodsbartered Isthequalityofthegoodsofferedconsistentandacceptable Isanexpertneededtohandlethenegotiations Isthecontrac