Competitive Pricing Strategy

Competitive pricing strategy is a business approach where companies set their prices based on what competitors are charging for similar products or services. The goal is to attract customers by offering competitive prices, which can help increase market share. Businesses may price slightly lower to draw in budget-conscious consumers or price similarly to emphasize quality. This strategy requires ongoing market analysis to adjust prices in response to competitors and consumer demand, ensuring the business remains appealing while maintaining profitability.