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  • March–April 2023
  • Article
  • Harvard Business Review

Case Study: Should a Dollar Store Raise Prices to Keep Up with Inflation?

By: Jill Avery and Marco Bertini
  • Format:Print
  • | Pages:5
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Abstract

How should a dollar store maintain its brand and price position in the marketplace in the face of rising inflation? Is holding a $1.00 price point still viable in today's marketplace? In this fictional case, managers face inflationary pressures and must decide whether and how to increase prices. With a brand heritage and position tied closely to one dollar, brand equity is at risk if the company moves off of its traditional $1.00 price point. Pricing strategies and their relation to costs and consumer demand and pricing change implementation tactics are debated.

Keywords

Pricing; Pricing Strategy; Retailing; Discount Retailing; Discount Store; Marketing; Marketing Strategy; Brands and Branding; Inflation and Deflation; Retail Industry; United States

Citation

Avery, Jill, and Marco Bertini. "Case Study: Should a Dollar Store Raise Prices to Keep Up with Inflation?" Harvard Business Review 101, no. 2 (March–April 2023): 140–144.
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About The Author

Jill J. Avery

Marketing
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