Pricing For Small Manufacturers
As a small manufacturer, you should not compete on the basis of price unless you are the low-cost producer. Usually you should compete on the basis of product performance, quality, delivery time, or whatever advantages you can offer customers over your competitors. Good pricing practices require an understanding of the influence of market factors, the economy, technology, competition, and resources. The owner-manager must consider each of these factors in addition to cost-related factors internal to the company.