3 influences on supply and demand

How do customers influence Supply and demand

How do competitors influence supply and demand

How do costs influence supply and demand

Prices are decreased when demand is weak, and increased when demand is strong

Short run definition

Long run definition

Are fixed costs irrelevant for short run policy decisions

Our fixed costs relevant in long-run policy decisions

Profit margin’s in the ??? pricing decisions are often set to earn a reasonable what??

Do long run pricing look at all costs up and down the value chain

Market based definition

Cost basis definition

What approach is used in competitive markets?

What approached is used in less competitive markets?

What approached is used in non-competitive markets?

Target price

What are the five key steps to identify target price and target costs ?

How do you derive a target cost per unit?

What is the definition of value engineering

Examples of aggressive value engineering tohat IKEA has done

Why do most firms use full cost for their cost based pricing decisions

What costs are used when calculating the markup percentage

Are customer cost part of the value engineering Evaluation