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    Rakeshbhai Patel
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    The document outlines pricing information for a company, including total fixed costs of Rs. 25 lakhs and how unit price is calculated based on total costs and number of units produced annually. It also provides an example physical distribution channel and pricing for different weights and compares the company's prices for various weights against several competitors.

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    The document outlines pricing information for a company, including total fixed costs of Rs. 25 lakhs and how unit price is calculated based on total costs and number of units produced annually. It also provides an example physical distribution channel and pricing for different weights and compares the company's prices for various weights against several competitors.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    16 views1 page

    Pricing

    Uploaded by

    Rakeshbhai Patel
    The document outlines pricing information for a company, including total fixed costs of Rs. 25 lakhs and how unit price is calculated based on total costs and number of units produced annually. It also provides an example physical distribution channel and pricing for different weights and compares the company's prices for various weights against several competitors.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as docx, pdf, or txt
    of 1

    PRICING

    Fixed Cost Amount(in lakhs)


    Land and Building Assumed Price
    Machinery
    Capital
    Variable Cost
    Rent
    Stationery
    Insurance
    Warehousing
    Transportation
    Salary and Wages
    Total 25,00,000

    Per Unit Price = Total Units/ Number of Units produced per year
    25,00,000 /10,000 = 250/-
    25,00,000/1,00,000 = 25/- (depends on product and units manufactured in a year)

    Example: physical distribution

    Channel 50 gms (Rs) 100gms (Rs) 150gms (Rs)


    Wholesaler
    Retailer
    Consumer

    Comparison of price with Competitors

    Name of Co. 50gms 100gms 150gms 250gms


    My company ₹ 15 ₹30 ₹45 ₹60
    Company A Price
    Company L Price
    Company C Price
    Company P Price
    Company F Price

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