Forex Media News Station

2009/08/20

What is the Reasonable Price?

What is the Reasonable Price?

Definition 1

Commercial decision reached jointly between a buyer and seller, reflecting a judgment influenced by the economic realities of the marketplace and the relative bargaining powers of the parties. Generally, it is high enough to cover the seller's costs and a reasonable margin, but not high enough for the seller to realize monopolistic profit.

Definition 2

Price that provides the best total value comprising of availability, delivery time, fitness for purpose, payment terms, quality, quantity, and service. A reasonable price is not necessarily the lowest price.

From: http://www.businessdictionary.com/definition/reasonable-price.html

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