Pricing and Ethics

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Future Value

The future value this week is to be aware of the pricing strategies when purchasing items and also looking forward into the future. As I pointed out in my discussion post, it’s quite possible that if you don’t believe your cup of coffee at Starbucks is worth $5, then you shouldn’t pay $5. It’s quite possible that when filling out the customer satisfaction surveys I receive from the many different establishments I shop at, I should pay closer attention to ensuring that I am answering them truthfully as it could have potentially large impacts in the future for myself and other consumers, especially if it continues to drive costs up.

Conclusion

This week we’ve learned how important pricing strategies are in the different industries. We’ve talked about how it’s important to ensure the right price point is hit, otherwise it could have a negative impact on revenues. It is also quite apparent that company executives can also tie pricing strategies directly to ethical or unethical decisions.

Works Cited

Intelligently, Price. "How Starbucks Uses Pricing Strategy for Profit Maximization." Pricing Strategy. N.p., n.d. Web. 28 May 2017.

Starbucks Customer Experience Survey. N.p., n.d. Web. 28 May 2017.

"Starbucks raising prices to cover higher coffee costs." Google. Google, n.d. Web. 28 May 2017.

"The Differences Between Value-Based Pricing & Cost-Based Pricing." Chron.com. N.p., n.d. Web. 28 May 2017.

Huizinga, Daniel. "How Competition Changed The Cellphone Industry." Opportunity Lives. N.p., 19 Jan. 2016. Web. 28 May 2017.

"EpiPen gives doses of life-saving epinephrine for nearly 50 years." IPWatchdog.com | Patents & Patent Law. N.p., 27 June 2016. Web. 28 May 2017.

Mangan, Dan. "This chart shows why everyone's angry about soaring price of lifesaving EpiPen." CNBC. CNBC, 23 Aug. 2016. Web. 28 May 2017.

Tenbrunsel, Max H. BazermanAnn E. "Ethical Breakdowns." Harvard Business Review. N.p., 31 July 2014. Web. 28 May 2017.