Marketing – 1/09/18
I. Bellwork
If you were entering a market with established competitors, explain the pricing strategy you would employ.
II. Objectives
- Explain how a company’s profit is related to markup.
- Use the basic formula for calculating a retail price.
- Calculate dollar and percentage markup based on cost or retail.
- Calculate markdowns in dollars and percentages.
- Calculate maintained markup in dollars and percentages
III. Discussion: Calculating Prices p.627-637
A. Basic mark up Calculations C+MU=RP
B. Percentage mark-up RP – C = MU
C. Based on Cost MU/C
D. Based on retail Price MU/RP
E. Cost Method of Pricing c*MU%=MU C+MU=RP
F. Retail Method of Pricing
G. Markdown
IV. Classwork
- P629 Practice 1-2
- P630 Practice 1-3
- P634 Practice 1-2
- P635 Practice 1-2
- P637 Q&A 1-3
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