Question

in his role as a product developer at comfy shoes, henry should determine the price of his products carefully based on the potential buyer's interest in his products and

Answer 1

Henry must consider the potential buyer's interest, production costs, market competition, and consumer willingness to pay when setting prices for Comfy Shoes. The evolution from individualized to standardized production and modern factors such as imperfect information and stakeholder needs also influence his role as a product developer.

Step-by-step explanation:

In his role as a product developer at Comfy Shoes, Henry should determine the price of his products based on the potential buyer's interest, the cost of producing those goods, competition in the market, and consumer willingness to pay. The historical context of the Industrial Revolution shows that the shoe production process evolved from individualized to standardized through the putting-out system, emphasizing cost reduction and labor division. In modern times, factors like design considerations for different stakeholders, imperfect information, and consumer behavior play significant roles in product pricing and development decisions. Entrepreneurs like Henry must often choose whether to expand or reduce production, set the price they choose, open new factories or sales facilities, or close them, and decide on hiring or laying off workers.

Answer 2

In his role as a product developer at Comfy Shoes, Henry should determine the price of his products carefully based on the potential buyer's interest in his products and the buyer's belief about the products' value.

Henry needs to consider the buyer's perception of the product's value. This is crucial because the price a customer is willing to pay is largely influenced by their belief in the product's worth.

If customers perceive Comfy Shoes as offering high-quality, comfortable footwear, they are more likely to be willing to pay a premium price for those products.

Therefore, understanding and aligning the price with the buyer's perception of value is essential for successful pricing strategies in product development. The Option B is correct.

Full question:

In his role as a product developer at Comfy Shoes, Henry should determine the price of his products carefully based on the potential buyer's interest in his products and

A. a thorough knowledge of his brand messages.

B. the buyer's belief about the products' value.

C. knowledge of competing products.

D. ability to negotiate discounts.

E. susceptibility to traditional marketing alternatives.