Many companies set their prices without doing anything
to manage the pricing environment. They set list prices
based on their own needs and then adjust transaction
prices based on what customers say they're willing to
pay.
Only a few exceptional companies question why someone is
willing to pay no more than a particular amount or how
that willingness could be changed. Consequently, few
companies proactively manage their businesses to foster
more profitable pricing. The difference between price
setting and pricing strategically is the difference
between reacting to market conditions and proactively
managing them. pdf
