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Chapter 6 Price Structure > Elements of Structure

Elements of Structure

Now that we have outlined a powerful structural framework, the next question is: just what are the elements that comprise the one or two charging elements? There are literally hundreds of price structure options. However, the main points of departure can be summarized into about eight buckets.

These price structure elements are listed in Figure 6-4. This figure also shows how the different elements are interlinked in the sense that you may need to consider how, for example, chargeback of your costs links to whether you charge on a fixed or variable basis. As another example, tactical structures which draw buyers toward increased purchase quantities can allow for much more aggressive introductory strategies.

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Figure 6-4 Structure “daisy”: major categories of price structure and common linkages.


  

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