PRICING POLICIES AND PRICE FIXING STRATEGIES OF SMALL AND MEDIUM SCALE INDUSTRIES IN ENUGU METROPOLIS.

Pricing is a very important and strategic area in marketing as it is the only marketing mix variable that generates revenue for the organization. Pricing impacts on the corporate image, brand image and on competitive advantage of a firm in the market. Its strategic nature is such that, it goes beyond taking decisions on the best price and strategies by just computing the cost for production and the expected profit margin. One industry where pricing can be very complex because of the underlying industry characteristics is the Small and Medium Scale firms. How do firms involve in this industry resolve such challenging problems? How are pricing decisions taken? What are the policies and strategies necessary to cope with this complexity? These were the motivations of this study titled “pricing Policies and price fixing strategies of Small and Medium Scale Industries in Enugu Metropolis”. The researcher applied three research hypotheses based on key issues related to the research topic. Data for this were generated from management staff of four selected SMEs in Enugu. The data obtained were analyzed and further subjected to Chi-square statistical tool in testing the hypothesis. The result obtained showed that pricing decisions in SMEs is determined by internal and external factors. We can therefore conclude that if the right price is adopted, it will go along way influencing the realization of the firm’s corporate goal.