Explain any two factors affecting price of a product. - Vidyadip

Question

Explain any two factors affecting price of a product.

✓

Answer

Factors affecting the price of a product are the following:

Demand for Product: Intensive study of demand for product and services in the market be undertaken before price fixation. If demand is relatively more than supply, higher price can be fixed.
Price of Competing Firms: It is necessary to take into consideration prices of the products of the competing firms prior to fixing the price. In case of cut-throat competition it is desirable to keep prices low.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "3 Marks Question" from Marketing→Marketing — all question types→Business Studies STD 12 Commerce question papers→CBSE Board STD 12 Commerce question papers→CBSE Board question paper generator→

Similar questions

What are the steps in the process of organising?

''Sound Financial Management is the key to the prosperity of business''. Explain.

What do you mean by Standing and Single-use Plans?

What are the main basis of setting standards?

Identify the characteristics of management in the following cases:

What managers do in India, The USA, Germany and Japan is the same.
KFC, the fast food joint, has made several alterations in its menu in order to survive in Indian markets.
Suhasini at Fabmart, performs several different tasks in a single day on a regular basis in series.

Briefly, explain any three barriers to effective communication.

Difference between authority, responsibility and accountability.

State any three characteristics of principles of management.

Which technique of Taylor suggests that each worker should be supervised by specialists? Briefly discuss any two of its designations suggested by Taylor.

What is ‘Financial Risk?’ Why does it arise?