Pricing a Product

Pricing a product involves a certain amount of trial and error because there are so many factors to consider. Pricing is the second of the seven Ps in the marketing mix. If you price too high, a lot of people simply won’t buy your product. Or you might find yourself facing competition from some other supplier that thinks it can beat your price. On the other hand, if you price too low, you might not make enough of a profit to stay in business. So how do you decide on a price?