1. Describe the two parties in a commercial exchange and what is given and received by each party.

2. How is the voluntary nature of the commercial exchange related to its potential for creating benefits for society?

3. Give some terms other than "price" that are commonly used to refer to prices.

4. In a business organization, describe how what a manager is referring to when speaking of "prices" differs from

what a manager is referring to when speaking of "costs."

5. What are the four categories of marketing activities, usually referred to as the marketing mix? In what important

way does pricing differ from the other three categories?

6. What is the marketing concept? How can pricing activities be guided by the marketing concept?

7. What is barter? Give an example of barter, either from your reading or from your own experience.

8. What is a medium of exchange? What is most commonly used in our society as a medium of exchange?

9. Describe the basic elements of price negotiation. Why is a price arrived at through negotiation referred to as an

"interactive price"?

10. What are fixed prices? What do customers like about fixed prices? What do retailers like about fixed prices?

11. What is price segmentation? Why might a seller want to engage in price segmentation?

12. Give an example of how different numbers could be used to express what would be substantially the same

price.

13. What is the difference between price setting and pricing policy?

14. Give some examples of job titles of those in a large organization who are likely to have direct responsibility for

making pricing decisions.

15. What are some of reasons that a item's pocket price may not be the same as the item's invoice price? What

could be done about this?

16. Give an example of a way that everyday pricing decisions could work against a company's long-term interests.

17. Describe some benefits of coordinating pricing activities with the other functions of a business organization.

18. Why might the study of pricing be relevant to a student who does not plan to ever set prices within a business

organization?