A Closer Look at Marketing/Advertising, Promotions and Pricing Policies Using Econometric Based Modeling

Abstract

Two core business strategies throughout the realm of commerce, which take their root from traditional economic theory, involve the incorporation of marketing, advertising and pricing policies for corresponding products and services. The determination of optimal strategies for each of these concepts is crucial since they account for the success or failure for a particular product or products and potentially the well being of the organization. As you well know, even the best product or service that has been mismarketed or inappropriately priced has little chance to achieve success in the market place. This is illustrated by the recent success of Ford Motor Company and their implementation of smart pricing.