Modeling Price Cultivation for Major Quality Goods

Q3 Business, Management and Accounting
Miao-Sheng Chen, M. Li, hsien-bin Wang
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引用次数: 1

Abstract

Abstract Quality goods are high-priced products. Consumers often wish to own them to satisfy their specific preference. During initiating periods, the pricing strategy of a firm is often based on prestige pricing. This study developed a model to optimize their profits through the price cultivation process. A modified Bass Diffusion Model is adopted by replacing accumulated sales with potential consumers who estimate the source of diffusion power. The distribution density function of ceiling price is used which consumers are willing to pay to estimate the purchase percentage among potential consumers and to forecast selling quantity. Finally, the present values of cash flows were calculated to determine the optimal price cultivation period. The study theoretically found that, with higher cost of capital, the small-and-medium enterprises would gain their optimal benefits through price cultivation marketing campaign. Whereas, with the lower cost of capital, the large-scale firms would not apply price-cut promotion to achieve their optimal profit.
主要优质商品的建模价格培养
优质商品就是高价产品。消费者通常希望拥有它们来满足他们的特定偏好。在初创期,企业的定价策略通常基于信誉定价。本研究开发了一个通过价格培育过程优化其利润的模型。采用修正的巴斯扩散模型,用估计扩散力来源的潜在消费者取代累积销售额。使用消费者愿意支付的最高价格分布密度函数来估计潜在消费者的购买百分比和预测销售数量。最后,计算现金流现值,确定最优价格培育期。从理论上研究发现,在资金成本较高的情况下,中小企业会通过价格培育营销活动获得最佳效益。然而,在资本成本较低的情况下,大型企业不会通过降价促销来实现最佳利润。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
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来源期刊
American Journal of Mathematical and Management Sciences
American Journal of Mathematical and Management Sciences Business, Management and Accounting-Business, Management and Accounting (all)
CiteScore
2.70
自引率
0.00%
发文量
5
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