"Pricing power" refers to a company's ability to control and set prices for its products or services, without significantly affecting demand. It means that a company has the leverage to increase prices without losing a large number of customers, allowing it to maintain profitability and potentially earn higher revenue.
Full definition
But the most fundamental problem with restaurant profitability is a lack
of pricing power because there are too many restaurants.
This renewed focus on ensuring affordability in the drug market leaves little
pricing power for all players.
This expectation seems overly conservative for a firm
with pricing power of dominant consumer brands.
As such, you may not have as much
pricing power as you do now, or at other times when mortgage rates are lower.
Conversely, companies that
lack pricing power or which rely on commodities in production of goods could face margin pressure in the quarters ahead.
If more consumers were contract - free, they would certainly have
more pricing power over their wireless carrier than they currently do.
However, the stock has done nothing but go down since the earnings announcement, even though it has
pricing power over every end of its business.
In a seller's market, the seller has
pricing power because the supply of homes is low relative to overall demand.
In general, the strategy invests in industries
where pricing power is improving, or likely to improve, and valuations are cheap relative to growth prospects.
«In a state of market equilibrium, you don't have as
much pricing power, so tenants can demand,» he said.
Being the world's largest beverage manufacturer also opens the door to
better pricing power and large economies of scale that is impossible to replicate from other competitors.
When will the telecom industry
regain pricing power and begin to reap the rewards of its investment to build out 4G and fiber infrastructure?
When a company can generate attractive margins it has
pricing power which can translate into higher margins.
When pricing power is improving rapidly, it can accept companies with somewhat lower balance sheet quality.
So, the national governments start turning to trade wars as a way of getting
back pricing power and limiting the over capacity and over supply that's crushing their domestic economies.
So we do not
exert pricing power, as we don't have the ability to price directly in the marketplace.
«And it will be an important blow against the
monopoly pricing power of profit - driven arrogance of the pharmaceutical industry,» according to the campaign's website.
Overall, this growth primarily reflects favorable housing market conditions, which has
created pricing power and reduced sales incentives, among other things.
I think the smaller players in the industry aren't commanding the
same pricing power as the larger operators in our industry.
As a drug developer specifically focused on companion pets, it has access to the 68 % of households that now own pets, and along with that,
excellent pricing power.
The laws of free market economics dictate that lowering supply gives the remaining
suppliers pricing power (assuming demand remained constant).
The promise of liquidity
puts pricing power in the hands of the liquidity providers: the exchanges.
Toward that end, the manufacturer bought a 3.5 percent stake in an Australian lithium - mining company to support long - term development of battery resources and
control pricing power.
So presumably, companies with
superior pricing power and with a history of high and stable gross margins may find it easier to retain the benefits of lower taxes.
Some investors believe cable providers have
enough pricing power to make up any lost revenue and margins should the government pursue the change.
Thus, with little economy -
wide pricing power, nascent wage increases come mostly at the expense of profit margins.
Companies may face factors such as increased competition and
lower pricing power, resulting in a similar financial impact.
The market's
pricing power works against fund managers who try to outperform through stock picking or market timing.
Spend time trying to find good companies with strong balance sheets in industries with
lousy pricing power, and cheap companies in good industries, where the trends are not fully discounted.
Phrases with «pricing power»