The document discusses several key factors that affect international pricing strategies: National market size - Larger markets allow for lower prices due to higher potential sales volumes, while smaller markets require higher prices. Exchange rates - Currency value differences result in varied prices between countries in addition to macroeconomic influences. Cultural differences - Cultural perceptions of value affect maximum consumer prices for equivalent products across borders. Regulations - Companies must consider any relevant price controls or restrictions that influence demand. Competition - Local and foreign rivals impact pricing. The case study of IKEA's entry into India demonstrates how it localized products, menus, and particularly prices - offering over 1,000 items under $3 - to succeed in the price-