Question

URGENT! Explain briefly about the ethnocentric global pricing policy.

Answer 1

In the ethnocentric global pricing policy, the price of the products should be the same globally. In other words, it is one global price which is one currency. The importer must absorb or take the responsibility for the freight and import duties. However, this pricing strategy does not respond to each national market since the per-unit price of an item is the same all over the world. This pricing strategy is recommended for companies that aspires to start its global marketing business unit.