The firm's pricing objectives must be identified in order to determine the optimal pricing. In this regard pricing objectives include the the company started with t profit maximization objective of seeks to maximize the profit, taking into account revenue and costs. The second objective is often to maximize long-term profits by increasing market share and lowering costs.
The pricing objectives are determined based on the factors including production cost, existence of economies of scale, barriers to entry, product differentiation, rate of product diffusion, the firm's resources, and the product's anticipated price elasticity of demand.
The company will used penetration pricing steretegy for new model such as Ispira 2.0, by charging for products which is set artificially low in order to gain market share. Once this is achieved, the price is increased.