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A price sensitivity matrix is a tool used in product management to understand how price changes affect the demand for a product. It helps product managers to set the right price for their products by analyzing the relationship between price and demand. The matrix is used to identify the optimal price point that maximizes profit without deterring potential customers.
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How do you take your product management to the next level? In this , we're going to review some of the top tools that product managers at companies like Tesla, Airbnb, Apple and Virgin Atlantic use to manage their products. We'll explain everything from how to create a price sensitivity matrix, define your total addressable market, conduct a cost benefit analysis, evaluate your product ideas with a MoSCoW feature prioritization, and make use of a KANO diagram to produce successful products.
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How do you take your product management to the next level? Due to popular demand, we've expanded our Product Development Toolkit to include more tools...
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