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Discuss the difficulty or desirability of having a standardized price for a company’s product across all the countries

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  1. Introduction
  2. Factors influencing international pricing
  3. Exchange rate and Taxes
  4. Price standardization
  5. Price differentiation
  6. Conclusion

Price is fundamentally about value, customers place prices within the context of perceived value. (West, Ford and Ibrahim 2006). It is also the 4th P in the marketing Mix and the only element that produces revenue. With the current economy and decrease of the purchasing power, the price impacts directly the consumer's choice. Internationally, the pricing decisions are directly impacted by factors such as the company's level, the environment, the market and the product. Taking into account these factors, the management of a company can set up its pricing strategy.

In this essay, we are going to focus on the pricing strategy that companies can implement when going international. First, we will have a look at the factors influencing the pricing strategy across countries. In a second time, we will present the concepts of standardization and of differentiation, and present the case of two companies: Apple and Zara, which choose to different approachThe Distribution system es.

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