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Old 01-04-2008, 10:54 AM
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Default Value Based Pricing

Value Based Pricing
This is a way of pricing a good based 100% on it's demand. It does not look at the supply of that good, only demand. There are certain times that certain products are in high demand, and this allows companies to increase their profits by inflating the prices. For example when you are at a restaurant, the prices of alcohol are well above the prices you'd pay at a local store. This is because the demand of alcohol is a lot higher when you are eating at a restaurant/bar type place. This would be an example of value based pricing.
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