ing. This approach refers to the extraction of the maximum profit over the shortest possible time period. Such an objective typically is not relevant to not-for-profit organizations.
2. Market-share pricing. This approach is used by an organization willing to forego some short-term profits for a long-term assurance of market share. This type of pricing objective is relevant for all types of organizations.
3. Market skimming. This approach is a practice of exploiting a new product to the maximum, before competing products are placed on the market or before fad interest in the product wanes. Such an objective typically is not relevant to not-for-profit organizations.
4. Current-revenue pricing. This approach is a cash generating strategy for organizations requiring cash quickly and for which liquidity requirements are more pressing than are profitability goals. While all types of organizations could use such an objective, not-for-profit organizations typically do not use this type of pricing objective.
5. Target-profit pricing. This approach is a procedure through which a specific rate of return on the organizational investment in the product is sought over a specific time period. This type of pricing objective is relevant for all types of organizations.
6. Promotional pricing. This approach is employed by organizations as a means of promoting an entire line of products, regardless of the impact which such pricing may have on the profitability of a specific product. This type of pricing objective is relevant for all types of organizations.
3. Place (Distribution) Strategy. A marketing channel is composed of the set of organizations required to move a product from its manufacturer, producer, or creator to the end user. It is advantageous to marketers to have as short channels of distribution as is feasible. Marketing channels also provide a means of transmitting information between manufactu
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