Abstract

Pricing is a key success driver of every business due to its direct impact on profitability (e.g., Gruber, 2004; Marn & Rosiello, 1992). It is regarded as an organizational capability that is not automatically inherent in new ventures, but that needs to be developed over time (Bitar & Hafsi, 2007; Dutta et al., 2002; Zou, Fang & Zhao, 2003). Nevertheless, especially entrepreneurs often fail to attach sufficient importance to this topic (Gruber, 2003; Hills, Hultman & Miles, 2008). Research findings indicate that pricing differs significantly between different organizational development stages or ages of new ventures. Many small and medium-sized enterprises (SMEs) deal with activities of marketing planning – including pricing – at a very late stage (Gruber, 2005). Surprisingly, no models on marketing or especially pricing evolution have appeared in major journals during the past decade (Gruber, 2004). Most models of organizational development of new ventures stem from the 1980ies (e.g., Tyebjee, Bruno & McIntyre, 1983; Carson, 1985; Boag, 1987).

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