A Study on The Pricing Strategies Applied In ...

A Study on The Pricing Strategies Applied In Higher Education Institutions And Its Effect on Students’s Choice of Universities: A Study In Bangalore

Author Name : Sraboni Sarkar, Dr. Nilanjana Chakrabarty

DOI: https://doi.org/10.56025/IJARESM.2022.1081422

ABSTRACT

In this highly globalised era, higher education is considered as a flourishing and significantly contributing sector to the Indian Economy. Higher education Institutions (HEIs) are constantly challenged by global forces and increased competition that necessitate innovative research, innovative pedagogies, along with innovative marketing strategies and here the pricing factor as one of the marketing P’s comes into play. Karnataka has been in the forefront in the field of higher education, particularly, Bangalore wherein students throng from various parts of the world paving the way towards cut throat competition among the higher educational institutions. The advent of globalization and the resulting transmission of the crisis from a single economy to the global marketplace have brought forth several problems to the highly competitive educational markets in India. These issues have forced the higher education institutions to frame various strategic business models and pricing techniques to maintain a competitive edge in a cut throat business environment. The pricing policy adopted by each educational institution has a great impact on the choice of educational institution by a student. This paper shall throw light on the various pricing strategies adopted by higher education institutions for revenue optimization as well as to retain potential students.

Keywords: Higher Educational Institutions; Pricing Strategy, Students’ Choice; Bundling Pricing; Penetration Pricing; Economy Pricing; Price Skimming