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Mcdonald's Pricing Strategy

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Price is the one of the important elements of the marketing mix. Price is the most important consideration for someone to purchase something. For each product sold, the price offer by the company also can maximize profitability. Furthermore, company can benefit from lowering or raising prices, depending on customer’s needs and behavior. (Anon., 2015) So our company has use several pricing strategy to decide the price of the Multi-function Bottle. The pricing strategy that our company decide to use are penetration pricing and psychological pricing.
Penetration pricing is a strategy used to new product to attract customers. It is the practice of setting a low price for new product to increase sales and market share. The reasoning behind this …show more content…

Direct chain of distribution has included face-to-face sales, mail order or computer sales but does not include distributor that are other than original producer. That also will be tend to have higher rate of profit due to no intermediaries share the profits because we can direct sales at the selling price that the company offer. Due to the technology is advance at this generation, our company will set up a website of the company to connect the product directly with the consumers and it can reach global easily. In the other hand, the customers can easily to search the information and buy the product through our company’s website. It is also convenience to the customers via Internet and it will be available 24 hours a day. (Hearst Newspapers, 2015)
Besides that, we also provide direct sales and on-site service because that can easily to introduce or practice to customer look on how to use it. Furthermore, we also will set up shops at the Pulau Pinang, Kuala Lumpur and Johor this 3 areas, because in this 3 areas the disposable level of the people is high, most of the people will have ability to buy the product. In addition, that will be able to build more confident and trust by the customers, they also will be easily to find the shops to get more …show more content…

Promotion is a way to persuade, inform and remind people about the company and the products. It is a strong technique to influence the consumers’ feelings, beliefs and behavior. Promotion also will help the company increase sales and create awareness about the company and product or service with the society through by advertising, public relations, personal selling and internet marketing.
Advertising that are using by our company is willing to use the newspaper for advertising. Due to the target market of our company have some people likely to buy newspaper to boredom, so we can advertise out the function of the bottle, company’s website and the location that can to buy the product on the newspaper to attract more people. In the other hand, we also have provide contact number to allow the customers easily to contact to our company to ask more detail and we will also send a salesman to their home to promote or practice the product that who are

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