Kostnadskostnadsättning

Kostnadskostnadsättning, or cost-plus pricing in English, is a pricing strategy where a company calculates the total cost of producing a product or service and then adds a percentage markup to determine the selling price. This markup represents the desired profit margin. The core principle is straightforward: identify all direct and indirect costs associated with the product, sum them up, and then add a fixed percentage on top.

This method is relatively simple to implement, as it relies on readily available cost data. It also guarantees that each sale will cover production expenses and contribute to profit, assuming the estimated costs are accurate and the sales volume is sufficient. Cost-plus pricing is often used in industries where costs are variable or difficult to predict precisely, such as in government contracting or custom manufacturing. It can also be a starting point for setting prices when market competition is low or when a company has a dominant market position.

However, cost-plus pricing has significant drawbacks. It largely ignores customer demand and what the market is willing to pay, potentially leading to prices that are too high or too low. If the cost estimations are inaccurate, the actual profit margin may differ from the target. Furthermore, it doesn't incentivize efficiency; higher costs can simply be passed on to the consumer. In competitive markets, this strategy can make a company uncompetitive if rivals are able to price lower based on different strategies or economies of scale.