Commodity pricing

5 Jan 2008

In an article on Harvard’s Working Knowledge, Professor John A. Quelch describes a number of ways a marketer can compete in a commodity market. One of them will be familiar to anyone who has ever shopped for a mattress.

If you aren’t the low cost producer, complicate your pricing structures so customers can’t easily make side-by-side comparisons, and provide discounts as needed of artificially inflated published prices.

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