Applications of Managerial Economics in Business Pricing Strategies

Pricing Strategies are crucial determinants of business success in terms sales revenue and profitability. This article introduces some key concepts managerial economics such as price bundling that have significant applications sophisticated pricing. The illustrated separately through detailed theory explanation with graphical analysis, a real-life case is briefly discussed for each these to demonstrate the practical theoretical ideas. It can be concluded although limitations taken into account, ideas still provide essential insights pricing process effectively improve firms’ profit conditions.