Name: Eliakim O.

Magsayo Section: MAR-201 Course & Year: BSBA-MktgMgt 2020-2021

Date: August 26, 2021 Professor: Torre W. Dalilis

Pricing Strategy
Activity No. 1

Instruction:

Review the following price list of pasta sauces below. Your task is to present the table to and
ask at least 10 people on which pasta sauce would they buy. You may ask your classmates or
family members.

10 people on which pasta sauce would they buy:

1. A. It is proven and tested and you know to yourself that you prefer the taste. – Earl Salazar.

2. E. I would buy the locally made pasta because I want to support local products and
considering the price, I think it’s the best product. – Christine Guevarra.

3. E. Locally made pasta sauce, support small business, as long as the reviews are good and
usually homemade taste better. – Veronica Soriano.

4. E. Support local and we are pinoys and for sure pasok yung lasa sa panlasang pinoy. Mostly,
Filipino think, which is more affordable and on the budget. – Pearl Placer.

5. A. Personally, I would like to purchase Brand A not just because it is the leading brand but
also it is recognized by the public for its quality that capture our taste. – Aurea Estopia.

6. A. Tested, tasted good even pricey. – Brianne Bautista.

7. D. So it can be donated in the charity and trusted since it is a brand and well-known. As well
as, it has quality, trusted at the same time and you get to help. – Karlyle Querijero.

8. A. Because, I will not buy any brand that I am not familiar with and I will not stake my family’s
health just because there are some brands that is cheaper compared to the brand that is trusted
by many. In our times, we experience Covid and that is enough reason to not let our guard
down, we must always choose the better option for our safety. – Anna Mationg.

9. D. Personally I would choose locally made pasta sauce which also supports the local
community. The product is affordable, but at the same time it would be able to help local
businesses prosper and grow. – Khiara Ortiz.
10. E. Considering it is locally made. – Olevia Magsayo.

After asking, answer the following questions:

1. Which one pasta sauce would you purchase? Why?

In the several kind of brand choices, it was difficult to choose between Brand A (leading brand),
Brand B (imported from Italy), Brand D (all profits to charity) and Brand E (locally made) due to
several reasons. In choosing a brand there are a lot of factors to consider before purchasing.
We have different kind of preferences that might affect which brand we will choose. However,
there is only one brand that wins above all.
I personally would choose Brand A, for some reasons that it is 100% guaranteed, that will give
nutrition for the family as well satisfaction in terms of taste preferences. Regardless of the price,
since the pandemic arises, health is a vital priority we should give importance to. Nonetheless,
199 pesos is much cheaper that a hospital bill cost more than a thousand and can took your
loved one’s life.
In terms of other brands such as imported, charities and locally made, you yourself can think of
the other way around to patronize imported, support locally made brands and on how to help
with those people who are in need, particularly, in terms of crisis.

2. How does your selection compare to those 10 people?

I actually got an equal score choice between A & E, out of 10 people whom I ask on which pasta
sauce would they buy. I can clearly notice that Filipinos embodied patriotism to support locally-
made pasta sauce. According to Trading Economics, 40.2% in 2015 are firms with legal status
of sole proprietorship in the Philippines. What more now that we are in 2021 already. Almost a
half of billion Filipino population creates their own small business to start up. That’s why I fully
understand that helping locally made can give a brighter future ahead to the citizens and boost
our economy.
It is usual for a consumer to choose Brand A, considering that trust is not easy to gain, primarily
it will be consumed by a person that is unknown unconsciously might affect their health.

3. Therefore, how important was the role of price in the overall purchase decision?

In the current times, price isn’t that much given importance than it used to be. We Filipinos are
known for purchasing on which is affordable and budget friendly. However, numerous of
Filipinos was knowledgeable enough to look through nutrition facts. That’s why for some
reason’s vegan, gluten free, non-dairy products and so on was popularize on each packaging
that can caught attention to potential customers.
As years passed by, there is visible growth on Filipinos way of life and their purchasing power.
 4. Considering the popular choices, what do you think is the reason behind? You may
answer using the concepts you have learned from your previous subjects in your
course.

Through years of studying business related subjects, on how I will approach my customers and
act as a consumer. There is various way to consider depending on what kind of preferences
your buyer has. I would connect it to the concept from my previous subject which is Consumer
Behavior that involves attitude towards products, services, activities, people and ideas, that
these classifications affect acquisition and consumptions of goods an individual would purchase.

References:
https://tradingeconomics.com/philippines/percent-of-firms-with-legal-status-of-sole-
proprietorship-wb-data.html?
fbclid=IwAR3kLAgec02ubehkW0Agqllvmri7fsTgcClChLwPBBsaobnPkmzncuseG98

Excerpted and modified from: https://www.greatideasforteachingmarketing.com

Review the following list of pasta sauces, which one would you buy?   

Brand Positioning/Marketing Price

The leading brand name – heavily advertising on TV for 20 years – well

A 199.00
known and recognized

B Imported from Italy – authentic Italian pasta sauce 199.00

A fairly well known brand on special for one week only, normally retails
C 169.00
at 190.00

D A well-known brand that gives ALL profits to charity 162.50

E Locally-made pasta sauce – ‘help support the local community’ 149.50

F An unknown brand 124.50

An unknown brand with an unusual flavor of sauce – not offered by the

G 149.50
other brands

H The supermarket (private label) brand 134.50