Facts or gut feelings: analysis of external pricing antecedents for SMEs in Germany

• Main Authors: Achterberg, L.H (Author), Ambituuni, A. (Author), Omar, M. (Author), Roll, O. (Author)
• Format: Article
• Language: English
• Published: Emerald Group Holdings Ltd. 2018
• Subjects: External pricing antecedents; Pricing information; Pricing performance; SMEs
• Online Access: View Fulltext in Publisher

 Purpose: The purpose of this paper is to analyse the external antecedents of pricing information acquisition in an integrative manner. The study develops understanding of determinants of information acquisition as a crucial prerequisite of successful pricing strategies within German small and medium enterprises (SMEs). Design/methodology/approach: A large scale survey of sampled 2,542 SMEs was conducted. A total of 220 questionnaires were completed, reflecting a response rate of 9 per cent. This was acceptable considering the sensitivity of pricing issues. A final sample of 173 usable questionnaires were obtained. Findings: The result indicates that external antecedents of pricing information acquisition practices have a positive impact on SME pricing performance, and pricing performance is positively related to firm performance. Practical implications: The study indicates that external antecedents of pricing information acquisition are strategic pricing capabilities, which should receive attention by SME managers. Originality/value: This study bridges significant obstacle to knowledge generation and theory development of the important issues of pricing information acquisition in SMEs. © 2018, Emerald Publishing Limited.