What topics are covered in chapter 17 related to pricing?

The focus on pricing in the early stages of the product life cycle is critical because it influences how a product gains traction in the market and establishes its competitive positioning. During the introduction stage, pricing strategies can be highly varied; firms may choose to penetrate the market with lower prices to attract customers or adopt a skimming strategy, where higher prices are set initially to recoup development costs.

Understanding pricing in this context is vital for marketers, as it shapes the initial customer perception and can dictate early sales volume. By addressing how pricing relates to product life cycle stages, marketers can tailor their strategies to maximize their product's potential and adjust as the product moves toward maturity. This aspect is far more comprehensive than focusing solely on competitor pricing, advertising and promotion, or psychological pricing, as it considers the dynamic environment in which products are launched and the strategies that can optimize their performance over time.