Back to Cost and Economics in Pricing Strategy
University of Virginia

Cost and Economics in Pricing Strategy

How much should you charge for your products and services? Traditionally, businesses have answered this question based on the cost to produce or provide their goods and services. This course shows you the economic factors behind pricing based on cost and the pros and cons of a cost-based pricing approach. Developed at the Darden School of Business at the University of Virginia, and led by top-ranked Darden faculty and Boston Consulting Group global pricing experts, the course provides the practical and research-based models and methods you need to set prices that maximize your profits. By the end of this course, you’ll be able to: --Apply knowledge of basic economics to make better pricing decisions --Recognize opportunities for price discrimination—selling the same product at different prices to different buyers—and recommend strategies to maximize sales and profits --Calculate three types of price elasticities to determine the impact of price on demand --Analyze and apply different pricing models -Cost-plus pricing -Marginal cost-plus pricing -Peak-load pricing -Index-based pricing --Evaluate the impact of channel intermediaries and customer lifetime value on pricing

Status: Cost Management
Status: Cost Accounting
BeginnerCourse12 hours

Featured reviews

RZ

4.0Reviewed Dec 20, 2017

Pretty good content, but would have liked the option to do more practice problems, particularly problems using formulas from the course and real world applications. Overall it was a valuable course.

SM

4.0Reviewed Mar 11, 2018

A good course but there were places where I felt things weren't clearly explained. Also, the quiz questions were sometimes somewhat ambiguous.

CA

5.0Reviewed Jul 7, 2019

All you need to understand about calculations and economics regarding pricing is explained, in detail, using clear examples and with great material to feel satisfied about complex information.

WW

5.0Reviewed Jun 5, 2022

The course is well planed and easy to absorb. The example is clear to understand plus, the formula is well used along side with real life example.

MC

5.0Reviewed May 9, 2017

Interesting module considering this is my first time trying to understand pricing and how to set pricing. Learnt a lot, thanks.

OA

5.0Reviewed Apr 28, 2019

The succinct and exhaustive account of pricing. Specifically, this course highlights the role of a firm's cost structure in pricing strategy. Highly recommended!

MK

5.0Reviewed Jul 22, 2019

Excellent introduction to the mathematics behind cost and pricing strategies. This course gave me a lot of good information that I've already started putting into practice at work.

NP

5.0Reviewed Jun 12, 2019

Really helpful and well-designed course for those interested in understanding the basic Pricing concepts in practice and learn how to approach any pricing challenge

MP

5.0Reviewed May 8, 2018

Concepts in this course are challenging but the class is setup for students to succeed. I really enjoyed this course and would recommend it to anyone looking to learn more about pricing strategy.

MS

4.0Reviewed Aug 23, 2020

Very helpful. The course provided conceptual insight in price setting methods apart from other relevant Technics and tools.

TE

5.0Reviewed Jul 20, 2020

This is an excellent course. Videos are reasonable length and have the essential content. Quantitative information is presented in a very palatable way.

SZ

4.0Reviewed Aug 2, 2019

I liked the course, it was very useful though I believe some part should have been explained more. Overall, it was a very good one.

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