In the industry of business, where value is the key,
Pricing products and services is a strategy.
Above-market pricing, aiming for prestige,
Quality and luxury are what they seek to please.
At-market pricing, staying in the middle ground,
Competing with the rest in the market that's renowned.
Below-market pricing, a loss leader's game,
Temporarily lower prices to establish your name.
Barter is an age-old way to exchange,
Goods for goods, in a fair and equal range.
Break-even analysis, the point where you meet,
Total cost and total revenue it's a feat.
Bundle pricing, offering a deal so sweet,
Buy more, save more, it's a shopper's treat.
Cost-plus pricing, adding costs and a margin,
Ensuring profitability, it's a pricing bargain.
Customary pricing, tradition takes the lead,
Based on what customers expect, it's a long-held creed.
The demand curve shows the buyer's sway,
Price elasticity of demand guides the way.
Loss-leader pricing, to draw a crowd,
Selling some items cheaply to make the wallet proud.
Odd-even pricing, numbers that intrigue,
$9.99 or $10, it's a tactic that's unique.
Penetration pricing, a market-entry scheme,
With low prices at the start, it's a winning team.
Pricing objectives they're the guiding star,
Profit equation, they'll take you far.
Skimming pricing, start high, then go down,
Catering to those who want the best in town.
Standard markup pricing, a formula so sound,
Covering costs and more for profit that's profound.
Target profit pricing, setting goals so true,
Striving for a certain profit in all that you do.
Target return-on-investment pricing, a financial quest,
Earning back your investment is the best.
Target return-on-sales pricing, a ratio to abide,
A percentage of revenue, a cost to ride.
Pricing constraints set the bounds,
Market, competition, and costs go around.
Total cost, the sum of all you pay,
Total revenue from sales that come your way.
Value pricing, it's the customer's delight,
Balancing quality and price, it's done just right.
So, in the world of pricing, where strategies abound,
Choose the strategy that suits you, and success will be found.