Managing Marketing Programs
What We Cover
Asim M. Ansari
Professor of Marketing
This course focuses on decisions that managers make and the tools they use to implement marketing strategies. Successful marketing implementation requires the managed introduction of new products, optimal price structuring, effective communication of product value and the distribution of products through intermediaries. In the context of IBS, we address various ethical and legal issues pertaining to pricing decisions by managers. We focus on two broad categories of ethical and legal issues. The first category includes such anti-competitive practices as price fixing, predatory pricing, price discrimination and resale-price maintenance. The second category, fairness in consumer pricing, focuses on the effects of pricing decisions on the end consumer. Here we discuss misleading pricing tactics that firms commonly employ.
Why It Matters
How should firms interact with intermediaries and competitors in the setting of prices? Can consumers successfully compare prices offered by different firms? When is a sale a sale? How should information about prices be communicated to enhance consumer comprehension and their perceptions of fairness? Is it okay to charge different prices to different groups of consumers? Consumers, firms and intermediaries face a number of such issues and tradeoffs in implementing pricing strategies. Managers need to understand such tradeoffs from the competing viewpoints of various stakeholders before making pricing decisions.
What Students Learn
Through a series of simple scenarios that exemplify various pricing tactics, students learn to analyze different situations from the viewpoint of consumers, retailers and managers. These scenarios highlight how social norms and aspects of the legal framework regulate and constrain managerial actions; students learn to discern the intent behind such constraints.