Browse Definitions :
Definition

manufacturer's suggested retail price (MSRP)

Manufacturer’s suggested retail price (MSRP) is the price that the maker of a product recommends for it in customer-facing retail stores.

A MSRP is commonly 2.5 to 3 times a wholesale price. Typically, retail establishments set their list price at or below the MSRP. In sales, the MSRP is often used to show the discount that may be possible because of the seller’s volume buys or manufacturer's promotions. A MRSP may also be inflated to make the offered retail price appear more attractive.

The extra expense added above a manufacturer's cost or the wholesale price is generally necessary in order to cover the various costs involved with producing the product and running a retail store. Such costs as property, staff wages, electricity, phone, internet and other costs would be impossible to meet without a profit margin. 

Occasionally products may sell above MSRP, especially when supply is justifiably low and consumer demand is high.

This was last updated in April 2016

Continue Reading About manufacturer's suggested retail price (MSRP)

Networking
  • network management system

    A network management system, or NMS, is an application or set of applications that lets network engineers manage a network's ...

  • host (in computing)

    A host is a computer or other device that communicates with other hosts on a network.

  • Network as a Service (NaaS)

    Network as a service, or NaaS, is a business model for delivering enterprise WAN services virtually on a subscription basis.

Security
  • tokenization

    Tokenization is the process of replacing sensitive data with unique identification symbols that retain all the essential ...

  • messaging security

    Messaging security is a subcategory of unified threat management, or UTM, focused on securing and protecting an organization's ...

  • WebAuthn API

    The Web Authentication API (WebAuthn API) is a credential management application program interface (API) that lets web ...

CIO
  • value stream management

    Value stream management is an emerging business process intended to gauge the flow of value into business resources and ...

  • audit program (audit plan)

    An audit program, also called an audit plan, is an action plan that documents what procedures an auditor will follow to validate ...

  • blockchain decentralization

    Decentralization is the distribution of functions, control and information instead of being centralized in a single entity.

HRSoftware
  • team collaboration

    Team collaboration is a communication and project management approach that emphasizes teamwork, innovative thinking and equal ...

  • employee self-service (ESS)

    Employee self-service (ESS) is a widely used human resources technology that enables employees to perform many job-related ...

  • learning experience platform (LXP)

    A learning experience platform (LXP) is an AI-driven peer learning experience platform delivered using software as a service (...

Customer Experience
  • Net Promoter Score (NPS)

    Net Promoter Score (NPS) is a metric that organizations use for assessing customer loyalty toward their brand, products or ...

  • B2C (business-to-consumer)

    B2C, or business-to-consumer, is a retail model where products or services move directly from a business to the end user who has ...

  • market segmentation

    Market segmentation is a marketing strategy that uses well-defined criteria to divide a brand's total addressable market share ...

Close