2 pages reflection paper
Moe102
HT383TheRoleofValueinPricing4.pptxThe Role of Value in Pricing
In an auction:
Everyone is bidding on the same item
Everyone has the same chance to win
Many people are willing to bid when the price is low
As prices increase, buyers drop out
Only one buyer will win
Chapter 3: Value
1
Lessons from eBay - https://www.ebay.com
The Role of Value in Pricing
In an auction; the winner is stating:
I am willing to pay more for this item than anyone else. To me, the benefits I receive are greater than the price I will pay.
Chapter 3: Value
2
Lessons from eBay
The Role of Value in Pricing
In an eBay auction, potential bidders will stop bidding at the point that their:
Desire
Willingness to buy
Chapter 3: Value
3
Lessons from eBay
The Role of Value in Pricing
Buyers spend their own money on themselves
Buyers spend their own money on someone else
Chapter 3: Value
4
The Buyer’s Multiview of Value
The Role of Value in Pricing
Buyers spend someone else’s money on themselves. (Corporate expense accounts)
Buyers spend someone else’s money on someone else. (Meeting Planners/ travel agents)
Chapter 3: Value
5
The Buyer’s Multiview of Value
The Role of Value in Pricing
All buyers making purchases will ultimately evaluate three factors that affect their perceptions of value received:
Chapter 3: Value
6
The Buyer’s Multiview of Value
