Competitive Parity Pricing

With the competitive parity pricing approach, you simply match the prices ofyour competitors. The first problem is that you may ignite a price war, which no one will win except perhaps the customers. The second problem is that, if you price at the same level as a competitor, what are you suggesting to the customer? Often, the customer will assume the two offerings are the same and there is no need to compare them. If you have a strong position for your product or service, you want your customers to think and compare when they are making the purchase.

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