Pricing Analysis.

Essay by tejas100University, Master'sA+, June 2003

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Choose one of the following products/services: Books, computers, CDs, banking, investment services, or insurance. Research the pricing of your selected product/service at three different point-of-purchase locations (e.g., online, retail chain, single-line specialty store, or discount store). Assess the rationale for pricing at each point-of-purchase location.


Price is the only one of the four Ps that produces the revenue. According to Kotler, "in setting a price a Company follows a six steps procedure: (1) Select the pricing objective, (2) determine demand, (3) estimate costs, (4) analyze competitors' costs, prices, and offers, (5) select a pricing method, and then (6) select the final price."

This paper attempts to explain pricing research for the HP brand PDA model iPAQ 5455 at three different point of purchase location. This paper also explains the rationale for pricing at each point of purchase location. This paper begins with the brief product description and followed by pricing research, rationale for pricing and conclusion.

Product Description

Hewlett-Packard and Compaq (HP) designed their PDA for users who need a PDA that does more than simple calendar and address book functionality, the HP iPAQPDAs with Pocket PC Series delivers a robust application feature-set and expansion capabilities empowering the user to stay productive all the time. HP's PDA model iPAQ 5455 is Powered by the Intel® processor technology at 400MHz, 112MB of RAM, integrated wireless and blutooth. Model 5455 is also powered by powerful software applications such as Microsoft Pocket PC operating system and Microsoft Office CE and other applications.

Pricing Research

A pricing research was conducted at the three different point of purchase location. These three purchase locations were included a major Internet retailer of all type of products, Best Buy - a major retailer of electronics, music and computer products, Costco warehouse- a major mass...