Dynamic pricing is a pricing strategy in which the price of a product or service can easily be adjusted to meet changes in the marketplace.
Further discussion on dynamic pricing:
Dynamic pricing is a concept easily practiced with internet retailers. Online retailers can make adjustments to their pricing as market conditions change. For brick-and-mortar stores to make pricing adjustments, employees and management would need to physically change pricing tags on merchandise, changes store signage, print advertisements, and input the new prices to store computers/registers. This process takes time.
For Business-to-Business companies, employees/workers must revise catalogs and price lists, then funnel them to distributors and customers. A process not easily accomplished as quickly as online retailers.
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