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Pricing and Margin Pricing is one of the most complex decisions in marketing because it requires balancing multina objectives, including cost/margin, positioning in the mind

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Pricing and Margin Pricing is one of the most complex decisions in marketing because it requires balancing multina objectives, including cost/margin, positioning in the mind of the consumer, impact on channel/distribution partners, and competition. This assignment is designed to illustrate the effects of the pricing decision in these different contexts. What is the role of MSRP in your pricing decision? For each brand in the following table, calculate the manufacturer's selling price (MSP), the per unit margin, and the gross margin as a percentage of MSP. Volume Promotion Unit Per Unit Gross Margin MSRP Discount Allowance Cost MSP Margin Brand X $5.29 30% 15% $1.18 Brand Y $4.99 35% 12% $0.74 For large retailers, the MSP represents their product cost, which they will mark up to set the retail price. If the retailer has a target margin of 25%, what would the retail prices be for the brands in question 2? Retail Price Brand X Brand Y

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