The Hardest P

In marketing, understanding your business environment is a fundamental hallmark of most business classes. This is sometimes known as the 3C’s model: Customer, Competitor, and Company (a corporation in some textbooks). As a leader (or so you’re taught), you think long and hard to then analyze the marketing mix: Product, Promotion (Communication), Price, and Place (Distribution).

Essentially (it’s really not that simple), you determine which knobs (or Ps to turn) to drive results and shareholder value. Mileage may vary.

Of these tools, Price is probably the easiest to change. However, customer perception of pricing takes considerable time and effort to have anything happen in a meaningful manner. And sometimes it takes a significant amount of money to alter. Be wary.