The location of the constraint will have an effect on the pricing practices of
your business. In the case of a business that is constrained by an internal
resource, those products that cross that constraint should be evaluated in
light of their contribution to overall throughput (see Figure 6.2). Those
products that have a low contribution vs. consumption ratio are candidates
for price increases. Those that have high contribution ratios are candidates
for aggressive sales and marketing activities — including potential price
reductions. Those products not consuming constraint resources are candidates
for opportunistic pricing or adjustments to lower the selling price to
stimulate demand and consume excess capacity.