It has always been difficult for retailers to set prices. Two factors make it even more difficult today. First, customers are better informed — the internet and smartphone apps let them easily check the prices of products they see on retail store shelves. Second, consumers have been conditioned to wait for steep discounts — in department stores very few sales are made at full retail. Retail giants J.C. Penney and Macy’s are trying new strategies to try to maintain profits. Read more at “Knowing Cost, the Customer Sets the Price,” New York Times, March 27, 2012.
What do you think of J.C. Penney’s new pricing? Will it work? What else do you suggest J.C. Penney do to try to make sure it works?