What does priced aggressively mean in real estate?

Aggressive Pricing We often see this when a seller has an offer on another property, subject to the sale of their home. The ideal outcome when pricing your home aggressively is attracting multiple offers which ultimately can result in sales above asking price (and sometimes above market price too).

What does priced competitively mean?

Competitive pricing is the process of selecting strategic price points to best take advantage of a product or service based market relative to competition. Competitive pricing is generally used once a price for a product or service has reached a level of equilibrium.

What is a good example of predatory pricing?

The WalMart/Target drug war A prime example of predatory pricing tactics between two large franchises can be seen in the prescription drug price war between Walmart and Target in Minnesota. Walmart, seeking to undercut the competition, initially began offering certain prescription drugs at well below its price floor.

What is predatory pricing?

In a predatory pricing scheme, prices are set low to attempt to drive out competitors and create a monopoly. Consumers may benefit from lower prices in the short term, but they suffer if the scheme succeeds in eliminating competition, as this would trigger a rise in prices and a decline in choice.

How do competitors determine their prices?

Competition based pricing is a pricing method that involves setting your prices in relation to the prices of your competitors. This is compared to other strategies like value-based pricing or cost-plus pricing, where prices are determined by analyzing other factors like consumer demand or the cost of production.

What is pricing prestige?

a pricing strategy in which prices are set at a high level, recognising that lower prices will inhibit sales rather than encourage them and that buyers will associate a high price for the product with superior quality; also called Image Pricing.

Is predatory pricing bad?

What’s the downside, though, of having laws against predatory pricing? After all, predatory pricing could happen. The downside is that many antitrust suits brought against alleged predatory pricers will really be suits against healthy price competition. This would hurt consumer and some of the most-efficient firms.

What is destroyer pricing?

Destroyer pricing is used to eliminate competition. It involves a business setting a very low price in order to attract customers away from competitors, who will struggle to match the low price and may go bust.

Is price discrimination illegal?

Price discrimination is the practice of charging different persons different prices for the same goods or services. Price discrimination is made illegal under the Sherman Antitrust Act.

Why do your competitors charge that price?

It can set a price to stop competitors from entering the market, or to increase its market share, or simply to stay in the market. In order to ensure sustained profitability, firms have to set a price that: covers the production cost, contributes to company overheads costs, and delivers suitable profits.

Why does what the competitors charge affect pricing?

Competition determines market price because the more that toy is in demand (which is the competition among the buyers), the higher price the consumer will pay and the more money a producer stands to make. Greater competition among sellers results in a lower product market price.

Why does Rolex use prestige pricing?

For instance, when Rolex is selling a watch, is actually not selling just a time device but also the value of displaying the customer’s financial wealth. By doing so, the company reinforces the perceived value they offer to the customer through prestige pricing.

What does aggressive pricing mean in business?

If you’re selling, aggressive pricing means your prices would be low to encourage sales, whereas if you’re buying, you would offer a higher price than your competitors. There’s also an implication that if competitors match your prices that you’re prepared to raise or lower them to be more competitive.

How do you use aggressive in a sentence?

This shows grade level based on the word’s complexity. in an aggressive, militant, or menacing manner: The orders were to root out the entrenched rebels, swiftly and aggressively. in a highly competitive manner; with an aggressive effort to win: The series was aggressively played by both teams.

Does predatory pricing exist?

There’s some argument over whether predatory pricing exists other than as a marketing myth. Some might argue for using the terms to indicate the relative ruthlessness of the price cut: Predatory > Aggressive > Competitive. However, most companies want to ensure a profit and will set a price that will maximize the chance of doing that.

What is the definition of aggressive behavior?

characterized by or tending toward unprovoked offensives, attacks, invasions, or the like; militantly forward or menacing: aggressive acts against a neighboring country. making an all-out effort to win or succeed; competitive: an aggressive basketball player.