Pricing is a key driver of superior performance. Small changes in net selling prices have an immediate and substantial effect on profitability. Managers typically underestimate the role of price as a key driver of superior profits.
Pricing is also, surprisingly, neglected: in its annual survey of chief marketing officers (CMOs), the American Marketing Association polls marketers on activities where marketing leads (Moorman, 2020). The results of the 2020 survey are depicted in Figure 7.1.
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