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Looks at the pricing policy of the Jaguar XJ12 which is primarily cost based. Demonstrates the importance of having an organizational structure capable of supplying relevant information for market based pricing methods. Identifies factors which play an important part in the pricing strategy for Jaguar. Analyses the market‐based policy and cost‐based policy, stating that a market‐based policy and cost‐based policy, stating that a market‐based policy is more appropriate in that it provides: greater profits; satisfied customers; and a reduction in the factors leading to the black market.

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