Josie is a teenage girl who wants to start a jewelry-making business. Her target market is females, ages 10-14. What price should she charge per necklace that she sells?

Charging between one and ten dollars for each necklace is a strategic choice for Josie, particularly given her target market of females aged 10-14. This age group is typically more cost-sensitive, and their purchasing decisions are often influenced by factors such as allowance money or savings accumulated from chores or gifts.

By keeping prices low, Josie increases the likelihood that her target audience will be able to purchase her jewelry independently or as gifts. Additionally, this pricing strategy allows for easier impulse buys, which is essential in attracting younger customers who may not have the desire or means to spend larger amounts. Furthermore, a lower price point can encourage repeat purchases, as young consumers may be more inclined to buy necklaces as a fun fashion accessory or for gifting purposes within their peer group.

In this context, a range of one to ten dollars positions her products as affordable and accessible, aligning perfectly with the purchasing capability of her demographic. This pricing strategy can also help Josie build a loyal customer base, leading to potential upselling or expansion opportunities in the future as her brand and audience grow.