Promotion & Information Systems Research Paper Example | Topics and Well Written Essays - 500 words

Promotion & Information Systems - Research Paper Example External factors can be described as competition, political, environmental, and technological or any other external factors that are not in control of marketers. They have to constantly adjust with them with regard to their marketing plans and strategies; otherwise, it is likely that they may lose market shares, which may have a considerable impact on company’s revenue. Internal factors are those which are in marketer’s control like increasing production in units in an existing set up so as to utilize full manufacturing capacity and play with pricing part so that there is an increase in absolute profit of the company. Here even reducing per unit price profit of the organization increases because numbers of the units sold are higher. These factors are in control of any marketer to a limited extent only to play with the pricing part of the product. Tutorial effectively teaches about 5-point process for setting the price. This process serves as a useful guide to set price of the product or service. However, finding right price is not an easy task and marketer has to make a lot of trial and error efforts finally to arrive at correct price. Price setting process begins with marketing objectives. Tutorial effectively imparts understanding that how managing external factors are the key to marketer’s success. Bulk of the efforts and time for any marketer goes here. Proper management of external factors is crucial for meeting the marketing objectives. They provide opportunities and pose threats to the marketer. In order to respond effectively to external factors, marketer needs to carry out market research. Market research is an intensive and a long term process. Market research is also carried out as one of the objective to arrive at right pricing for the product or services. One cannot set a perfect price with this tool but it can be taken as a guide to arrive at right pricing. Based on the above