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Unit 7

A reasonable price

Yoon: What do you think of our price for the Super Stereo, SS 10047?
Oscar: Frankly speaking, we can’t approve of your price at the moment. We didn’t expect the price
to be like this.
Yoon: Why is that? Is there any particular reason that you can’t accept it? We might give you some
leeway and adjust if we can afford to.
Oscar: Please understand. We did some price surveying and we learned that we can purchase the
same product in Taiwan at one third of your price. You’re a businessman too, Mr. Yoon. You
know what this means.
Yoon: Therefore, the present price is really out of the question. I agree, we have to improve our
current price. Hmmm. We can’t believe it, you know? As I mentioned earlier, I thought ours
was actually a reasonable price at the current market rate regardless of the quality. Perhaps we
should conduct more of these price surveys to know how we fare in the market.
Oscar: That’s a good move, Mr. Yoon. You cannot just concentrate on product improvement. You
have to compromise and adjust your pricing to your intended market. So, is there anyway you
can improve on your current price?

1. What makes a price “reasonable”?

Sample answer:
I think a price is reasonable if the good the good qualities of a product or a good service make
money spent worth it.

2. How do you make your prices reasonable?

Sample answer:
We make sure that our customers get the most advantage from our products. We make sure
that they have their money’s worth in terms of product quality. We also check the prices of
other items and see to it that we have competitive prices.

3. Is “reasonable” synonymous to “cheap”? Can a high price of an item be con-
sidered as “reasonable?”

Sample answer:

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