What is meant by Price .What factors should be considered while setting price.

All profit and nonprofit organizations must set prices on their products and services. Price goes by many names (rent, tuition, fee, fare, rate, interest, toll, premium, et cetera). Price is the amount of money charged for a product or service or the sum of the values that consumers exchange for the benefits of having or using the product or service. A company's pricing decisions are affected by both internal company factors and external environmental factors a) Internal Factors Affecting Pricing Decision Internal factors affecting pricing include the company's marketing objectives, marketing mix strategy, costs, and organizational considerations. b) External Factors Affecting Pricing Decisions External factors that affect pricing decisions include the nature of the market and demand, competition, and other environmental elements.