Price-Setting Specificts in Latvian Enterprises

Abstract

Prices are one of key economic indicators and tools for influencing economic processes. In Latvian market, the sensitivity of price continues increasing determined by the variable and unpredictable tax system, as well as the effects of the reforms being implemented. Still, for the establishment of competitive prices stable economic environment is needed. Therefore the evaluation of the price-setting specifics gains utmost importance. By evaluation price-setting and identifying existing regularities, by developing methodological approach to targeted price-setting management process, it is possible to promote the implementation of the competitive advantages of price-setting. Latvian market is characterized by changing prices with a strong upward trend. Though the scientific literature increasingly accentuates the science-based price-setting, Latvian enterprises have little experience in this field and this important and complex process is given undeservedly little attention.