Examples of Strategic Pricing. Rather than simply responding to shrinking profits or customer complaints about prices, ... A simple plan for strategic pricing is the cost-plus model.

Penetration pricing is a plan to enter a market with products that are priced well below the competition's. It is intended to get immediate attention from consumers and dominate the market.

Here's what we know: Less than three years ago, Netflix lost 800,000 subscribers in one quarter when it announced both a price increase (July, 2011) and a plan to siphon its DVD-only customers to ...