Browse Definitions :
Definition

list price

Contributor(s): Matthew Haughn

The list price is the stated value for which something is offered for sale through a particular channel such as a showroom, a retail store, a catalog or a retail, wholesale or distributor website.

The list price may also be the manufacturer’s suggested retail price (MSRP) or sticker price; however, list price is context-dependent. The MSRP is the price that the manufacturer has arrived at for a product, taking into account the cost of production and other factors. A MSRP is usually the highest price that a product attains and is generally considered to be slightly higher than what the market will bear. In a manufacturer’s catalog, list price is typically MSRP but subsequent entities in the distribution channel may or may not list the item at the same value.

The list of products offered to a retailer by a manufacturer or distributor includes the list price as a pre-promotional “regular” price. The list price is commonly 2.5 to 3 times the wholesale price that a manufacturer offers for bulk shipments of its products to distributors and traders, who in turn deal to customer-facing stores at a higher price.

The difference between retail price and a manufacturer's cost price or a wholesale price is required to cover the various costs involved with running a retail store. Such operational costs as property lease, staff wages, electricity, phone, internet and other costs would be impossible to meet otherwise. The retail price is calculated to cover those costs and produce a profit.

List price is usually the highest price a consumer will be charged at retail or online except in the case of low supply, high demand, added value or seller inflation.

This was last updated in April 2016

Continue Reading About list price

Start the conversation

Send me notifications when other members comment.

Please create a username to comment.

-ADS BY GOOGLE

File Extensions and File Formats

Powered by:

SearchCompliance

  • PCI DSS (Payment Card Industry Data Security Standard)

    The Payment Card Industry Data Security Standard (PCI DSS) is a widely accepted set of policies and procedures intended to ...

  • risk management

    Risk management is the process of identifying, assessing and controlling threats to an organization's capital and earnings.

  • compliance framework

    A compliance framework is a structured set of guidelines that details an organization's processes for maintaining accordance with...

SearchSecurity

  • Trojan horse (computing)

    In computing, a Trojan horse is a program downloaded and installed on a computer that appears harmless, but is, in fact, ...

  • identity theft

    Identity theft, also known as identity fraud, is a crime in which an imposter obtains key pieces of personally identifiable ...

  • DNS over HTTPS (DoH)

    DNS over HTTPS (DoH) is a relatively new protocol that encrypts domain name system traffic by passing DNS queries through a ...

SearchHealthIT

  • telemedicine (telehealth)

    Telemedicine is the remote delivery of healthcare services, such as health assessments or consultations, over the ...

  • Project Nightingale

    Project Nightingale is a controversial partnership between Google and Ascension, the second largest health system in the United ...

  • medical practice management (MPM) software

    Medical practice management (MPM) software is a collection of computerized services used by healthcare professionals and ...

SearchDisasterRecovery

SearchStorage

  • M.2 SSD

    An M.2 SSD is a solid-state drive (SSD) that conforms to a computer industry specification and is used in internally mounted ...

  • kilobyte (KB or Kbyte)

    A kilobyte (KB or Kbyte) is a unit of measurement for computer memory or data storage used by mathematics and computer science ...

  • virtual memory

    Virtual memory is a memory management capability of an operating system (OS) that uses hardware and software to allow a computer ...

Close