# CTE Resource Center - Verso - Marketing, Advanced Task 896546705

CTE Resource Center - Verso

Virginia’s CTE Resource Center

Identify the psychological effects of pricing.

Definition

Identification should include psychological pricing techniques, such as prestige pricing; odd-even pricing; multiple-unit pricing; buy one get one (BOGO); and everyday low prices (EDLP). Psychological effects might include

  • customer perceptions
  • product image
  • consumer's willingness to pay
  • loss leader
  • special event
  • rebates and coupons.

Process/Skill Questions

  • Why would a business want to charge more than a competitor for a similar product?
  • Why does psychological pricing work?
  • Why is psychological pricing a competitive technique?

Related Standards of Learning

English

11.5

The student will read, interpret, analyze, and evaluate a variety of nonfiction texts including employment documents and technical writing.
  1. Apply information from texts to clarify understanding of concepts.
  2. Read and correctly interpret an application for employment, workplace documents, or an application for college admission.
  3. Analyze technical writing for clarity.
  4. Paraphrase and synthesize ideas within and between texts.
  5. Draw conclusions and make inferences on explicit and implied information using textual support.
  6. Analyze multiple texts addressing the same topic to determine how authors reach similar or different conclusions.
  7. Analyze false premises, claims, counterclaims, and other evidence in persuasive writing.
  8. Recognize and analyze use of ambiguity, contradiction, paradox, irony, sarcasm, overstatement, and understatement in text.
  9. Generate and respond logically to literal, inferential, evaluative, synthesizing, and critical thinking questions about the text(s).

12.5

The student will read, interpret, analyze, and evaluate a variety of nonfiction texts.
  1. Use critical thinking to generate and respond logically to literal, inferential, and evaluative questions about the text(s).
  2. Identify and synthesize resources to make decisions, complete tasks, and solve specific problems.
  3. Analyze multiple texts addressing the same topic to determine how authors reach similar or different conclusions.
  4. Recognize and analyze use of ambiguity, contradiction, paradox, irony, overstatement, and understatement in text.
  5. Analyze false premises claims, counterclaims, and other evidence in persuasive writing.

Other Related Standards

National MBAResearch Standards-Marketing

Develop a foundational knowledge of pricing to understand its role in marketing.