The story of Britain’s best-selling car ever and how important it is to get the pricing right. The determining of a price should be a function of the costs of production. The makers of the Mini decided the price and then made it. The report highlights the problem of using competitive pricing rather than cost-plus pricing.
Marketing is about making your customers want your product. By advertising Minis at less than £500, the creators effectively created a desirable yet affordable car – but at what cost? Students could discuss which is more powerful – marketing or costs?