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Newpharma is a Belgian online pharmacy operating on several markets such as Belgium, France, Holland and Germany. They sell pharmaceutical and para-pharmaceutical products on the Internet and deliver the parcel to the patients. They position themselves as Belgian leader and compete on the other international markets to gain market share and rank the top-3. To achieve their objectives, they developed a large offer for customers and want to propose the best prices. Looking at the objectives of the company we oriented the pricing strategy to an everyday low pricing strategy. This implies a heavy control of the costs structure. In order to be able to low-price a cost domination strategy is necessary to succeed. You will observe that three main components basically influence the pricing strategy and the price setting: the customer, the costs and the competition.
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