Assignment: Pricing
1. Identify your brand. Shake Shack
2. Describe your brand's pricing strategies that are implemented by each category. Give brief examples to show your evidence for each category. Examples of pricing strategy categories are as following but not limited to:
- Existing product pricing strategies
o Product-bundling pricing
o Price-adjustment strategies
- Volume discounts
- Discounts based on time of purchase
- Discriminatory pricing
o Revenue management
o Psychological pricing
o Promotional pricing
o Value pricing
3. List at least 2 examples of factors that affect your brand when setting their price. Explain briefly how those factors affect your brand's pricing strategy.
4. Identify your brand's major competitor.
5. Describe the competitor brand's pricing strategies that are implemented by each category. Give brief examples to show your evidence for each category. Examples of pricing strategy categories are as following but not limited to:
- Existing product pricing strategies
o Product-bundling pricing
o Price-adjustment strategies
- Volume discounts
- Discounts based on time of purchase
- Discriminatory pricing
o Revenue management
o Psychological pricing
o Value pricing
6. What price differences do you find between your brand and your competitor brand? Include a brief summary of the key points only.
7. Give an example of an effective use of price discrimination for your brand. Support your reasons for thinking that it is a good example.
8. What other pricing strategies do you think your brand needs to implement (Identify at least 3)? Explain why (must be supported with evidence).
9. Among the different factors that affect your brand's price-demand relations, which factor do you think affects your brand and target market the most? Explain why. (The six different factors are: Unique value effect, Substitute awareness effect, Business expenditure effect, End-benefit effect, Total expenditure effect, Price quality effect.)
10. Reference list.
Format your assignment according to the following formatting requirements:
1. The answer should be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides.
2. The response also includes a cover page containing the title of the assignment, the student's name, the course title, and the date. The cover page is not included in the required page length.
3. Also include a reference page. The Citations and references should follow APA format. The reference page is not included in the required page length.