1) Describes market forces that are relevant to pricing and company decision-making; includes information to make sound pricing decisions, such as risk or uncertainty assessments and responses to competitors’ pricing actions
2) Discusses overall economic ups and downs, such as business cycles, to inform financial strategies used at different times; includes important trends and impacts for business owners.
3) Describes the impact of local economic trends on supply and demand, equilibrium prices, and business decisions; includes potential impact of a major fluctuation in inflation and unemployment rates or interest rate outlook.
4) Describes factors that influence price based on price elasticity; includes an average-price-level recommendation and revenue-maximizing price based on estimated demand, considering pricing versus competitors’ prices.
5)Determines the resulting revenues, costs, and operating income; defines opportunity costs, budget constraints, overhead, and other fixed and sunk costs and explains how they relate to pricing decisions.
6)Explains key takeaways from a competition analysis to inform pricing strategies; recommends further analysis and decisions based on the estimated effect on revenues, costs, and profit, and uses financial information to support.
7)Discusses how an import tariff might affect pricing and costs for the company and its competitors; includes potentially raising prices, lowering costs, and alternative options for purchasing materials, and the potential impacts of those decisions.