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In essence you have to determine the ideal equilibrium of profit-making for each unit as well as the best number of purchases. There are numerous ways to price your products and help you do the above The best strategy is to usually combine at least 2 strategies.
Pricing can be a major factor in whether or not you can you or your business's success, so it's crucial to take enough time on the subject to get it right. Be aware that depending on your overall strategy , you can incorporate other strategies into the mix to increase the profit from each customer and their lifetime value
The method for working is simply by taking the price of a unit , as defined in step 1. (transportation as well as other variable costs in the equation) and then either simply include the margin you want on top of that or choose to set a predetermined amount that you feel is ideal. This will result in the final cost for the product.
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