Pricing Power

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Dictionary Says

Definition of 'Pricing Power'


An economic term referring to the effect that a change in a firm's product price has on the quantity demanded of that product. Pricing power ties in with the "Price Elasticity of Demand."

Investopedia Says

Investopedia explains 'Pricing Power'


Generally speaking, if a company doesn't have much pricing power then an increase in their prices would lessen the demand for their products.

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