colors (The Men’s Vortex Triclimate Jacket, 2013). The jacket is not easily accessible to the ordinary consumers due to its high prices that are based on the high shipping costs making the jacket rare with its price of about $280. The jacket is distributedthrough giant clothing retail outlets and multinationals who sell it at reduced prices due to their large economies of scale.  The jacket was largely supplied in the United States but due to the high costs, it ceased to be distributed in the continent, as people could not afford it. The company embarked on a strategy that made use of large retail outlets to make it available across the globe at reduced prices (The Men’s Vortex Triclimate Jacket, 2013). The channels currently adopted, involving selling of the jacket in giant cloth dealers that in most instances embracegiant shipping to ensure that the costs of shipping is reduced by the bulk shipped.

The pricing system in place is both value based and cost based. This is due to the reason that; the cost of the jacket is contributed to by the costs of shipping the jacket, manufacturing it as well as the presence of a waterproof pocket. The services provided by the jacket also contribute to its value through the materials used to make the jacket making it waterproof, durable, strong and breathable (The Men’s Vortex Triclimate Jacket, 2013). The method of costing involved is determined by looking into the factors that make it expensive, as they are vital to telling the price of the commodity. The pricing strategy can be said to be effective as it ensures that the consumers get the commodity at the lowest price, and ensures that the seller benefits as part of the chain of distribution, and consequently the manufacturer does.

References

“THE MEN’S VORTEX TRICLIMATE JACKET.” The North Face. N.p., n.d. Web. 30 Oct. 2013. <http://www.thenorthface.com/catalog/sc-gear/men-39-s-vortex-triclimate-jacket.html?variationId=D6R&variationName=MAJESTIC%20RED>.