Posted: February 3rd, 2015

International Pricing Policy of Armani

Paper, Order, or Assignment Requirements

Basic assumptions: Price policy is most flexible instrument with the greatest direct impact on profit, the greatest direct impact on sales / revenues, the greatest direct impact on competitors and with low investment and costs.

⇒ What are the key factors in the price decision of your brand?
⇒ On what basis would you calculate the appropriate price for your brand?
⇒ Price elasticity is an important factor in the price decision. Regarding price elasticity what do you assume for your brand and what does that mean for the price decision?
⇒ Free trade and ubiquity of products and the overlapping of information in markets causes gray markets. How do you see that for your product and what do you want to do in this situation?
⇒ For your brand in a market of your choice do you choose a penetration (low price) or a skimming (high price) strategy and why?