The "Golden Rule" of Channel Pricing Advises Channel Managers To

question 28

Multiple Choice

The "golden rule" of channel pricing advises channel managers to:

• A) Ensure channel members receive the highest margins the manufacturer can afford.
• B) Give explicit consideration to the effect of pricing decisions on channel member behavior.
• C) Control resale pricing at all levels in the channel.
• D) Ignore competitors
• E) Ensure that costs exceed price.

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Definitions:

Unit Price

The price of a single unit of a product, used for comparison between different sizes or quantities.

Percent Increase

The percentage that represents the proportion of growth from the initial value to an increased amount.

Hourly Rate

The sum of money received for every hour worked.

Unit Price

The cost per single unit of an item or investment.