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Introduction

As a marketing professional, you are often responsible for developing pricing strategies and tactics as well as making important pricing decisions based on analysis of data gathered from various sources, including pricing research, discounting, and price promotions. In Task 1, you demonstrated your ability to assess market opportunities and develop a go-to-market strategy for growth. In this task, you will apply pricing theories, strategies, and tactics to justify various pricing decisions. The purpose of this task is for you to demonstrate your ability to develop ethical pricing strategies and tactics that resonate with consumers and meet organizational goals. Use the information provided in the attached scenario to complete this assessment.

Scenario

Refer to the information in the attached “D376 Task 2 Scenario” in the Supporting Documents section below.

Requirements

You must use the rubric to direct the creation of your submission because it provides detailed criteria that will be used to evaluate your work. Each requirement below may be evaluated by more than one rubric aspect. The rubric aspect titles may contain hyperlinks to relevant portions of the course.

A.  Using the information provided in the scenario, complete the following:

1.  Identify internal and external factors from a company perspective that will influence the consumer price perception.

2.  Select 
one pricing strategy that you recommend using and justify why it would be the most effective pricing strategy to introduce the 12 oz. Natural Energy drink to the West region.

3.  Based on the pricing strategy you recommended using in part A2, complete the following:

a.  Set a retail price and explain your price determination.
 

B.  Using information from the scenario and the psychology of pricing concepts, develop an argument in favor of or against extending the price discount for an additional two months as suggested by the sales team in the scenario.
 

C.  Considering the natural disaster situation stated in the scenario, develop an argument in favor of or against raising the prices from an ethical pricing perspective.

1.  Support your argument from part C with 
three reasons from the scenario or a learning resource.
 

D.  Acknowledge sources, using in-text citations and references, for content that is quoted, paraphrased, or summarized.
 

E.  Demonstrate professional communication in the content and presentation of your submission.

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