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Here we can assume
The product has low price elasticity.
The product has low cross elasticity.
The demand of the product will rise.
Products have perishable distinctiveness from competitor's product, assuming the product features are medium distinctiveness.
Products have little distinctiveness from competitor's product. assuming that:
The product has high price elasticity.
The product has some cross elasticity.
No expectation that demand of the product will rise.
The pricing is done based on these three factors.
[edit] Cost-plus pricing
Main article: cost-plus pricing
Cost-plus pricing is the simplest pricing method...
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