Give two examples of pricing decisions with a short-run focus.

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Part 1

Two examples of pricing decisions with a short-run focus are:

A.

(1) cost-based pricing, which asks, "What does it cost us to make this product, and hence what price should we charge that will recoup our costs and produce a desired profit?" and (2) customer-based pricing when a company might price below full cost.

B.

(1) pricing for a one-time-only special order with no long-term implications, and (2) adjusting product mix and volume in a competitive market.

C.

(1) market-based pricing, an important form of which is target pricing; and (2) competitor-based pricing, which asks, "Given how our competitors will react to what we do, what price should we charge?"

D.

None of the above.