Low Price Tactics

• Increase prices and then discount or offer 2nd one free.
• Introduction discount for new customers.
• Import same goods from low price countries.
• Outsource to low labour cost or low tax countries.
• Direct sales channel bypassing established retailers.
• No mention of mandatory extras.
• Low product price but very high service costs.
• Centralise production and use low cost distribution.
• Low price but strict qualifying conditions.
• High pressure sales techniques to push add-ons.
• Stringent quality & service level agreements with suppliers and harsh penalties for non compliance.
• Cross subsidise products or services.
• Bribes.
• Produce compatible spare parts and consumables.
• Counterfeit goods.

High Price Tactics

• Promoting ordinary product as a luxury one.
• High prices for captive audience.
• High prices on renewal for existing customers.
• Bundle popular products with unpopular ones.
• Significant increase in prices in times of shortages or outside normal hours.
• Promote ethical dimension but superficially adopt stated practices.
• Auctions.
• Heavily discount to drive competitors out of business - then hike prices.
• Sue direct importers or suppliers of compatible spare parts.
• Cartels.

Variable Price Tactics

• Timed based pricing.
• Yield Management (time and demand).
• Risk based pricing.
• Consumer behaviour and aspirations based pricing.
• Package same product differently for different distribution channels.
• Product line range with variable number of features on each model.