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Dont understand ? Pricing Calculations SMG Manufacturing produces toothpaste, as well as other personal grooming items. They have introduced a new brand of ultra-whitening toothpaste

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Pricing Calculations SMG Manufacturing produces toothpaste, as well as other personal grooming items. They have introduced a new brand of ultra-whitening toothpaste called "Ultra-White" and they are working on pricing decisions. Walgreens has tentatively agreed to carry this toothpaste and they are waiting to hear what SMG will charge them for the product before they decide on their retail selling price to the consumer. There are several things to consider in making this decision for both the manufacturer and the retailer in setting the wholesale selling price and the retail selling price. From the manufacturer's perspective, SMG is concerned with two things- What is the appropriate suggested retail price on the drugstore shelf for the customer to pay for Ultra-White given SMG's pricing objectives, the nature of the consumer demand for the product, and SMG's manufacturing and administrative costs to produce and market the product; and what wholesale selling price should SMG set for the product? (This is the price that Walgreen's would have to pay to SMG for each tube of the toothpaste.)? A. B. Using the information presented below, answer the following questions to help SMG and Walgreen's make these important decisions 1. If SMG has a status quo pricing objective and strategy in mind for this product, what would be an appropriate retail selling price, in your opinion, given what you know about current toothpaste prices in stores right now? Suggested Retail Selling Price

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