trigger pricing

trigger pricing

English

Noun

trigger pricing (uncountable)

1. (economics) A pricing strategy in which a company sets the price of a product relative to an index value, with a time frame in which buyers can purchase the product for this price if the index-based price reaches an acceptable level. Usually the seller sets a minimum order size to qualify for the trigger price.
   • 1979, Randall M. Fisher, ‎James T. Brooks, Springboards, the Key Issue: Foreign Trade Policy, 1979-1980 (page 106)

     The channeling of imports by foreign mills through their own distributors will cause as much, if not more, imported steel to be sold in the U.S. market, perpetuating the problem that trigger pricing was designed to correct.

   • 1983, United States. Congress. House. Committee on Ways and Means. Subcommittee on Trade, Options to Improve the Trade Remedy Laws: Hearings (page 532)

     The suit never went through the courts because the trigger pricing was amended to include wire fencing as a product to be subject to trigger pricing.