1. Of the major pricing strategies discussed in this chapter, which one best describes JCPenney’s “Fair and Square” pricing strategy?

The one that best described their pricing strategy is good-value pricing because good-value pricing offers just the right combination of quality and good service at a fair price.

2. Compare JCPenney’s former traditional approach to pricing versus the “Fair and Square” pricing strategy. Discuss the advantages and disadvantages of each.

The advantage of the former approach was that the customers could expect for the store to have a sale. The disadvantage of the former approach was that it didn’t help to build the company’s brand because consumers were able to go anywhere to find a sale. The advantage of the “Fair and Square” pricing strategy was that they always offered a low price. The disadvantage of this strategy was that because it was not implemented soon enough, it could not keep customers coming into their store or persuade new ones to visit their store.

3. Discuss the role of product, place, and promotion in connection to “Fair and Square” pricing.

The role of product is that the company has decided to add more name brands to their stores. The role of place is that the company decided to remodel their stores to make them more appeasing to their customers. The role of promotion was used in conjunction with their new pricing by eliminating the use of previous pricing and just cutting pricing completely.

4. Did “Fair and Square” pricing fail for JCPenney? Explain your answer.

The pricing failed because it made sales move at a slower pace and has since then made their sales decline