Is your idea of pricing models right?

1. There are no commodity markets, just commodity marketing approaches.

2. The foundation of any successful pricing strategy is to price to demand, not to markets.

3. The value equation for target consumers is optimized by understanding the ratio of benefits delivered for the price charged.

4. Driving meaningful differentiation in your products is what separates you from competitors and what commands price premiums.

5. Success with these first four principles creates the opportunity to be a Market Maker that sets prices or commands price premiums, rather than a Price Taker that merely accepts commodity prices.

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