Abstract
Pricing strategy is one of the critical elements of a business. While many academics focused on the concept of customer retention and marketing strategy, only a few focused on the impact of pricing strategy on customer retention. Furthermore, only a few academics and researchers examined how pricing strategy affected the performance of small and medium-sized enterprises, as they are the most significant business sector in any global economy. With the changing economic environment, there is a need for a thorough study of creative and economical pricing strategies for SMEs to boost their performance and remain competitive. This study focused on the relationship between pricing strategies and the business performance of selected Small and Medium-sized Enterprises in Santa Cruz, Laguna. The study sought to determine the effect of cost-plus, competitive, and value-based pricing strategies on the SMEs' profitability, stability, and growth. The study adopted a quantitative and descriptive correlational research method and used stratified random sampling to determine its respondents. Necessary data were gathered through survey questionnaires and were computed electronically using Minitab, and treated statistically using Pearson Correlation Coefficient. The results revealed that the pricing strategies, such as cost-plus pricing, competitive pricing, and value-based pricing, is highly effective in the business performance of selected SMEs in Santa Cruz, Laguna in terms of profitability, stability, and growth. Through the findings derived from this study, it was concluded that, there is a statistically significant relationship between the pricing strategies; cost-plus pricing, competitive pricing, value-based pricing; and the business performance among selected SMEs in Santa Cruz, Laguna. The findings of this study have important implications for SME owners and managers in Santa Cruz, Laguna and contribute to a better understanding of the factors that influence business performance.
Keywords
Pricing Strategy, Small and Medium-Sized Enterprises, SMEs, Cost-Plus Pricing Strategy, Competitive Pricing Strategy, Value-Based Pricing Strategy, Profitability, Stability, Growth
Citations
IRE Journals:
Aguilar, Kieth Anne D. , Articona, Precious G. , Garcia, Sherry Mae L.; Lozano, Larragine R. , Reblando, Sherlyn R.; Roguin, Eloisa Grace D.; Ruazol, Lorea J. , Salvadora, Jermaine Miala O.; Victoria, Rhianne Jayne S.; Dr. Norayda M. Dimaculangan
"Pricing Strategies and Business Performance Among Selected SMEs in Santa Cruz, Laguna" Iconic Research And Engineering Journals Volume 7 Issue 11 2024 Page 101-125
IEEE:
Aguilar, Kieth Anne D. , Articona, Precious G. , Garcia, Sherry Mae L.; Lozano, Larragine R. , Reblando, Sherlyn R.; Roguin, Eloisa Grace D.; Ruazol, Lorea J. , Salvadora, Jermaine Miala O.; Victoria, Rhianne Jayne S.; Dr. Norayda M. Dimaculangan
"Pricing Strategies and Business Performance Among Selected SMEs in Santa Cruz, Laguna" Iconic Research And Engineering Journals, 7(11)
About IRE Journals
IRE Journals is an open access online journals established with an aim to publish high quality of research work in various diciplines. We have more than 6 years in publications. Over 2500+ papers already published.
Important Links
For Authors
Volume 7:
Issue 1, Issue 2, Issue 3, Issue 4, Issue 5, Issue 6, Issue 7, Issue 8, Issue 9, Issue 10, Issue 11, Issue 12Volume 6:
Issue 1, Issue 2, Issue 3, Issue 4, Issue 5, Issue 6, Issue 7, Issue 8, Issue 9, Issue 10, Issue 11, Issue 12Volume 5:
Issue 1, Issue 2, Issue 3, Issue 4, Issue 5, Issue 6, Issue 7, Issue 8, Issue 9, Issue 10, Issue 11, Issue 12Volume 4:
Issue 1, Issue 2, Issue 3, Issue 4, Issue 5, Issue 6, Issue 7, Issue 8, Issue 9, Issue 10, Issue 11, Issue 12Volume 3:
Issue 1, Issue 2, Issue 3, Issue 4, Issue 5, Issue 6, Issue 7, Issue 8, Issue 9, Issue 10, Issue 11, Issue 12