Business Dictionary
Recommended Sales Price RSP
A-B C-D E-G H-K L-N O-P R-S T-W
Recommended Sales Price ( RSP ) is the retail price level that is recommended by Supplier to Retailers.
The purpose of RSP is intention to obtain the price that will bring the optimum of Product sales, Revenue and Profit. It also leads to Win Win situation.
If the retail price is set too high, the retailer may have high margin, but low turnover will lead to low revenue. Too low price will lead to low interest of retailer and possible delisting. RSP is usually the optimal price that balances margin, turnover and revenue.
Related Reading:
Turnover ( Inventory )
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