Print Advertising Exam 3 Flashcards
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A pricing strategy in which the vendor is paid primarily based on the effectiveness of its services or products. Examples of sellers who usually use efficiency-based pricing are real estate brokers, internet advertising platforms, and private injury attorneys. Performance-based pricing will increase the risk of the vendor however it creates alternatives for larger rewards.
Each agency head shall provide mechanisms for sharing proven incentive strategies for the acquisition of various kinds of products and services among contracting and program management officers. When predetermined, formula-kind incentives on technical performance or supply are included, increases in profit or payment are supplied only for achievement that surpasses the targets, and reduces are offered for to the extent that such targets are not met. The incentive increases or decreases are applied to efficiency targets rather than minimum performance necessities. The completion kind describes the scope of labor by stating a particular goal or goal and specifying an end product. This type of contract normally requires the contractor to complete and ship the required end product (e.g.,a last report of analysis undertaking the goal or target) throughout the estimated price, if possible, as a situation for fee of the entire fixed fee.
A no-haggle pricing policy is a kind of _______________ pricing strategy. Earl was known for driving 30 miles to avoid wasting a dollar on the price for his favourite beverage. Earl perceived value as ________________, whereas most customers recognize worth because the ______________ made to accumulate an excellent or service.
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