Threshold Price

(redirected from Threshold Prices)

Threshold Price

The price that psychologically encourages a potential buyer to purchase a product. For example, a company may price a product at $19.99 because it finds that it begins to lose buyers at $20. This maximizes the company's revenue because it makes slightly less money from significantly more buyers.
References in periodicals archive ?
The board of directors approved a 1-for-4 ratio for the reverse stock split after evaluating such items as the current and anticipated trading price and volume of the Company's stock, the minimum threshold prices at which brokerages and institutional investors can invest in stocks, prevailing market conditions, and the liquidity of the Company's stock.
In practice, identifying threshold prices will be complicated.
In Europe we established intervention and threshold prices, providing a relatively narrow trading range, and commerce benefited from this, albeit at relatively high base prices.
Thus, the optimal strategy for these decisions takes the form of four threshold prices, which are determined by a number of parameters, including those reflecting the industry features and the status of timberland holding.
Changes in any of the related parameters will cause the operation decisions to be made at different threshold prices.
To look at how a change in market volatility will affect those threshold prices, suppose that the market volatility decreases by 5.
Reasonableness has come back to the antitrust laws, and in the consumer electronics industry, where sales training, industry marketing, and after-sales service are highly valued by manufacturers and reputable retailers, it makes perfect sense to consider these factors when evaluating a manufacturer's requirement that threshold prices be maintained.
Section 29 tax credits could also be reduced before expiration if the price of crude oil exceeds annually adjusted threshold prices and eliminated entirely above certain oil prices.
The aggregate number of shares to be sold under the plan and the threshold prices for sales under the plan were established on or before March 6, 2009.
The agreement gives AVANIR the ability to set threshold prices, at or above which the company will sell its stock to the investor.
The agreement gives AVANIR the ability to set threshold prices, at or above, which the company is willing to sell its stock to the investor.
Under the terms of the equity line, which does not involve warrants or resets, SuperGen may receive up to $36 million in cash in exchange for SuperGen common stock at upward escalating threshold prices.