Posted in Marketing and Strategy Terms, Total Reads: 472
Definition: List Price
List Price is the price of a product which has been set by the company which has manufactured the product, and it is the price given for the sellers to sell the product to consumers. List price helps in standardizing the price of a product across a geography. Some stores also sell a product at a price lower than its list price, often during sale season.
In India, retailers operate on the Maximum Retail Price Model. All the products are marked at MRP and it is upon retailer’s choice to sell a product at MRP or a price below it. Retailers are not allowed to charge beyond the MRP limit. However, process above MRP are often charged in places where the availability of a certain product is low.
It is also referred as manufacturers’ suggested retail price (MSRP) or recommended retail price (RRP).