Pricing Strategy
Internet Café bases its prices for coffee and specialty drinks on the "retail profit analysis" provided by our supplier.
Determining a fair market, hourly price, for online use is more difficult because there is no direct competition. Therefore, Internet Café considered three sources to determine the hourly charge rate. First, we considered the cost to use other Internet servers, whether it is a local networking firm or a provider such as America Online. Internet access providers use different pricing schemes. Some charge a monthly fee, while others charge an hourly fee.