Pricing of Services: An Interdisciplinary Review

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Abstract
Basic theories and widely held beliefs about pricing in the fields of economics and cost accounting are reviewed, but found not to have total relevance to the pricing of services. Marketing principles reviewed offer some guidelines to the pricing problem, which is rooted in service characteristics. A pricing procedure is suggested. The purpose of this article is to show how the service price decision is uniquely constrained by environmental and product characteristics, and to review the price-related literature of several disciplines.

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