Since Samsung has a wide range of products, it has various pricing methods. Price of a commodity says a lot about the product. Innovative products, which are exclusive to a place, are generally marked up to meet the demand curve and use skimming price.
For instance, the recent launch of Galaxy Note 3 witnessed a huge demand in the market. In such cases, Samsung adopts the skimming price technique, whereby they get a high value for a commodity before the competition sets in the market. Once the product becomes old or faces a clash by other such products, Samsung reduces its price.
Since Samsung has a wide range of products, it has various pricing methods. Price of a commodity says a lot about the product. Innovative products, which are exclusive to a place, are generally marked up to meet the demand curve and use skimming price. For instance, the recent launch of Galaxy Note 3 witnessed a huge demand in the market. In such cases, Samsung adopts the skimming price technique, whereby they get a high value for a commodity before the competition sets in the market. Once the product becomes old or faces a clash by other such products, Samsung reduces its price.
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