Figure 6 consists of a large box titled: ‘Pricing mechanisms’. There are two smaller boxes within the larger box. On the left there is a box titled: ‘Fixed menu pricing’ with a subtitle underneath that states: ‘Predefined prices are based on static variable’. The box consists of two columns and four rows. Each column and row contains text. This is listed as follows:

List price – Fixed prices for individual products, services or other value propositions.

Product feature or dependent – Price depends on the number or quality of value proposition features.

Customer segment dependent – Price depends on the type and characteristic of a customer segment.

Volume dependent – Price as a function of the quantity purchased.

On the right there is a box titled: ‘Dynamic pricing’ with a subtitle underneath that states: ‘Prices change based on market conditions’. The box consists of two columns and four rows. Each column and row contains text. This is listed as follows:

Negotiation (bargaining) – Price negotiated between two or more partners depending on negotiation power and/or negotiation skills.

Yield management – Price depends on inventory and time of purchase (normally used for perishable resources such as hotel rooms or airline seats).

Real-time-market – Price is established dynamically based on supply and demand.

Auctions – Price determined by outcome of competitive bidding.