Stallion Power LLC Pricing Strategy in Pakistan

About the Company

Stallion Power LLC is a Dubai (UAE) based company to manufacture and exporter of electronic, Caterpillar, iPad parts, iPad parts, iPad parts, OE-M’s (Original Equipment Manufacturer). We are now looking for the new design and manufacture of engines.

Presently, our range is gone for the rural, development, modern, control age, and material dealing with segments. We have also done a contract and linked with the Cummins diesel generators and with Perkins generators.

What are your daily tasks as a Pricing Analyst?

Answer: As a Business Development Manager my duty is to look for the pricing strategies in the stores and must check the standard policies and procedure. I must coordinate with the salesperson and marketing person about the new product and price change.

As we all aware of the Power crisis in Pakistan, the demand for the engine-based generators is a bit high so we must set prices accordingly in Pakistan. Our biggest customers are office/business, stores, shops that need big engines generators.

So, sometimes we must import for them if we are not getting meets the requirement of the customers.

Our customers are in the heart of everything we do is for our customers. We design engines that are needed, and we listen carefully to the voice to understand the specific requirements of our valued customers, then we provide the best solutions for customer requirements.

We always try to provide the best engines which can save time, money, and durable products. This customer relation reflects the value of commitment, excellence, and teamwork. In short quality products delivered to quality customers.

How you set prices for the host country (Pakistan)?

Answer: As I mentioned in your previous question the power crisis in Pakistan is high from the last few years, so we always try to meet customer demand at affordable prices. Setting the price for Pakistan is a very challenging task. The decision for the product price and distribution in Pakistan is unique.

We always want to provide our products with quality and at genuine prices differ from the domestic market. However, return rate, demand, market penetration, cash recovery, competitors, and new entrant are very important for taking the pricing decision process.

Also, when we set price for Pakistan, we must consider culture, climate, attitude, and its values. With the help of which it is very easy to examine the buying/purchasing behaviour of the customer and to select the best pricing strategy.

So, in general, when we set prices for any country, we study customer preference and their purchasing behaviour according to the price level.

What effect on your sale when foreign currency ($) rises in the host country (Pakistan)?

Answer: Yes, it always affects when the foreign currency goes up and the value of PR decrease as our manufacturing plant is not exclusively in Pakistan. So, we must import, and it always affects the transportation cost as we deal in US Dollar then we must set a price accordingly.

It is always a high risk for us to not lose customers due to the fluctuation in the exchange rate. Then our company looks for some approaches to overcome this risk.

The simplest approach is to monitor the change in the exchange rate and lock the exchange rate for the specific period by a forward contract. This is a beneficial approach to deal with this situation. Still, we always try to satisfy our customers and meet their requirements at our earliest.

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