Posted in Marketing and Strategy Terms, Total Reads: 392
Definition: Quoted Price
Quoted price is the most recent price at which a commodity would have been traded. It is the cost of a product or service that the seller offers. The quoted price depends on the market environment and the perceived value of the product or service. Though quoted price remains stable through longer periods of time like a year or maybe even few years, it is susceptible to change even in a day if the market conditions and hence the perceived value of the commodity change drastically.
For example, the quoted price will be the price a plumber says he would be able to fix your drain for. After he starts working on the drain, he realises it is badly clogged and may be needing acid or some other material/tool to clean it up, hence increasing the cost for him. Therefore may end up charging you for fixing the drain than the initial quoted price.