Can It Stay Ahead? · Intermediate · Pro filter
Pricing power (margin stability): what it means and how to read it
Strong, moderate or weak, based on how steady margins stay when costs move.
What is Pricing power (margin stability)?
Strong, moderate or weak, based on how steady margins stay when costs move.
A worked example
When palm oil prices rose 40%, a strong soap brand raised prices and kept its margin. A weaker one kept prices and saw its margin fall by a third.
Why does Pricing power (margin stability) matter?
Companies that can raise prices without losing customers protect their profits.
How do you read Pricing power (margin stability)?
Strong is what you want.
A fact about the company, not a score.
The values it takes
strongmoderateweak