You are on page 1of 2

Abstract- Pricing Strategy Of Energy Sector Introduction Of Energy SectorEnergy sector includes companies involved in the exploration and

development of oil or gas reserves, oil and gas drilling, or integrated power firms. Performance in the sector is largely driven by the supply and demand for worldwide energy. Energy producers will do very well during times of high oil and gas prices, but will earn less when the value of energy drops. Furthermore, this sector is sensitive to political events, which historically have driven changes in the price of oil.

Pricing Strategies
Pricing is the process of determining what a company will receive in exchange for its products. Pricing factors are manufacturing cost, market place, competition, market condition, and quality of product. Pricing is also a key variable in microeconomic price allocation theory. Pricing is a fundamental aspect of financial modeling and is one of the four Ps of the marketing mix. There are many pricing strategies such as Premium Pricing. Penetration Pricing. Economy Pricing. Price Skimming. Psychological Pricing. Product Line Pricing. Optional Product Pricing. Captive Product Pricing Product Bundle Pricing. Promotional Pricing. Geographical Pricing. Value Pricing. Protocol

Torrent Power limited is an India-based company engaged in the electricity generation, transmission and distribution. Its current operations are in the states of Gujarat and Maharashtra. It is expanding into Andhra Pradesh starting 15 August 2009. The company is the sole distributor of electricity to consumers in the cities of Ahmedabad, Gandhinagar and Surat In 1997, the company received clearance from the Foreign Investment Promotion Board to issue preferential shares to US based MNC Investment Corporation for Rs. 400 Crore to help fund its acquisition of the Ahemdabad Electricity Company by purchasing the entire 28.89% stake held by the Gujarat government. This acquisition formed what was then known as Torrent Power AEC Limited. Similarly, after acquiring the Surat Electricity Company in the same deal, Torrent Power SEC Limited was formed.

Pricing Strategy Used By Torrent Power

intro on pricing concepts explaining various pricing strategies torrent power - identify the pricing strategy used by torrent power