Which of the following is NOT one of the six steps to determine price?

Which of the following is NOT one of the six steps to determine price?

• A. Establish objectives
• B. Set prices
• C. Conduct market research
• D. Decide on pricing strategy

Answer: (C)

Conducting market research is an essential activity in the pricing process, but it is generally not considered one of the six specific steps to determine price. The primary steps typically include establishing objectives (which guides the overall direction of pricing), setting prices based on those objectives, deciding on a pricing strategy that aligns with market position and competition, analyzing costs, evaluating demand, and monitoring competitor pricing. By being aware of the necessary components in developing a pricing strategy, businesses can effectively position their products in the market and achieve their financial goals. Although market research is vital to inform pricing decisions and understand customer perceptions, it acts as a supporting tool rather than a definitive step in the structured process of determining pricing. Understanding this distinction helps in navigating the complexities of pricing strategies within the broader context of marketing practice.

Conducting market research is an essential activity in the pricing process, but it is generally not considered one of the six specific steps to determine price. The primary steps typically include establishing objectives (which guides the overall direction of pricing), setting prices based on those objectives, deciding on a pricing strategy that aligns with market position and competition, analyzing costs, evaluating demand, and monitoring competitor pricing.

By being aware of the necessary components in developing a pricing strategy, businesses can effectively position their products in the market and achieve their financial goals. Although market research is vital to inform pricing decisions and understand customer perceptions, it acts as a supporting tool rather than a definitive step in the structured process of determining pricing. Understanding this distinction helps in navigating the complexities of pricing strategies within the broader context of marketing practice.