Pricing policy and strategy of Pran:

Price is the sum of all the value that consumers exchange for the benefits of having or using the
product on serves. Historically, price has operated as the major determination of buyer's choice.
a) Pricing policy:
As the company has an objective to stay in the maret as long as possible !ith this business, it
has adopted the penetration price policy some both domestic and international maret.
Another vie!point is that the company has adopted a fixed pricing strategy. "he cause behind
this strategy is that the target consumers generally do not lie bargaining.
b) Pricing #trategy:
$onsidering consumer satisfaction, marets demand etc. the company follo!s the prices of juice
pac is %$ost&pricing% strategy. "he pricing strategy is very specific and straight according to
present maret situation. Pricing decision is made through the discussion among the 'anaging
(irectors.
"here are three stages at !hich the prices are fixed to the maret in )angladesh.
Firstly, the price, !hich is fixed by the factory, is called factory prices.
Secondly, the !holesalers collect P*A+ juice product from the factory then they fix a price for
juice pac and then sell to the retailers on sub dealers. "his type of pricing is called !holesale
pricing. "he !holesalers pricing system are given belo!:
,holesaler Price - .ssue price / transportation cost / storage cost / pacing cost
/ Physical losses / other costs / profit margin.
Thirdly, the retailers then collect P*A+ juice pac from the !holesalers. After eeping a certain
profit margin, they fix a price. "his type of pricing is called retail pricing.
$ommission to salespeople:
,hen people start looing at sales jobs, they often assume that there0s a commission involved 1
but that0s not al!ays the case. 'any sales jobs do include a commission. #ome pay just
commissions2 some offer a commission but also pay a set 3base4 salary2 and some don0t pay
any commission at all.
P*A+ usually follo! the follo!ing pattern in giving commission.
+o $ommission
#ometimes P*A+ don0t pay any commission, especially for ne! salespeople. "he associate is
paid a flat salary regardless of ho! much or ho! little they sell. #uch a position can be
comforting to a ne! salesperson, since their income isn0t dependent on ho! !ell they sell, but it
can 5uicly become frustrating. 'any salespeople are money&motivated, so if there0s no ongoing
incentive for selling !ell, they0ll either find a ne! job or stop trying.
)ase plus $ommission
P*A+ also provide base plus commission to certain salespeople. #ales jobs offering a base and a
commission can offer the best of both !orlds. #alespeople are re!arded appropriately for
successful sales, but don0t have to !orry about starving if they have a bad month. 6ften the
commissions !on0t ic in until the salesperson reaches a specific goal, such as a certain number
of sales or a minimum revenue amount for the period.
'ost of these positions pay out commissions throughout the year, often on a 5uarterly or
monthly basis. Ho!ever, some employers !ill set up a 3base plus bonus4 schedule instead, in
!hich a salesperson !on0t receive anything above his base salary until the end of the year.
)onuses are typically based on meeting or exceeding certain pre&set goals, but these may not all
be directly sales&related. 7or example, the bonus might be partly based on customer feedbac.
$ommission 6nly
.n certain cases P*A+ only provide commission to salespeople. Pure commission sales jobs are
just that 1 the salespeople are only paid according to !hat they sell. .f a salesperson maes no
sales during a month, he doesn0t get paid. Ho!ever, successful salespeople tend to mae a lot
more money !ith a pure commission job than !ith the e5uivalent base plus commission job.