Pricing for Strategy Tactical Pricing The pricing method that the stores need to adopt has to showcase their advantages and also throw up the disadvantages of buying online. Some of the major disadvantages of buying online are the additional charge incurred on the credit cards in some cases, not buying the right size of a branded product because you do not try them out, delay in delivery, and the delivery charges. The pricing tactic adopted should highlight the advantages of the retail stores. No additional charge on the credit card, since the delivery charges could be minimal for a local store to the residence of the buyer, this can be volunteered without much cost on the store. Since most of the people buying sports clothing do not buy in volumes for themselves, but the possibility of team buying is there. Therefore, for such customers who want to order for their entire team attire, special offers including printing of their logos, etc. could be done to ensure that the team is clothed by the store in its entirety. Pricing Strategy Based on these values the pricing could be worked out. It should be noted that a retail store might end up with much lesser volume compared to an online store in many cases since they approach the entire market in the country online. Whereas, the retail store is more a local store unless a central purchase is done as in the case of Sports Authority and Dick’s. Since most of these stores hold stock for the manufacturer, the chances that the store could get a better deal are high. In the case of online stores, most of them hold only a virtual stock, meaning the stock held by the manufacturer or his warehouse. The retail store can get a better deal on price bargain from the manufacturer and this could reflect in a better profit margin for the product on an overall basis. The goal of the pricing strategy is to maximize the difference between the cost incurred by the company and the value created for the customer (Thomas Nagle & Reed Hogan, 2002). In line with this principle, reducing the cost to the company is one of the methods for increasing the advantage to the company. Secondly, a competitive pricing level with that of the online store needs to be worked out since it has to be on par or comparable to their pricing. Value Creation The value to the retail store is in immediate delivery, try and take the product. Now, this has been the method that the retail stores resort to. In addition, the retail stores should also work out a value creation by making the work more personal. The customer could come down to the store and pick up the product he needs at his leisure. Team clothing and organizing are also possible by the retail store which can add value. Specific value addition is done when the delivery is done across the table or at the spot required by the customer which might not be the case with the online store. It should also be noted that the value perceived by the customer could be different from what is perceived by the store. Secondly, the customer might not be paying even for the value that she perceives. This is so because of the fact that her refusal to pay might have reduced the prices on earlier occasions. Pricing Structure The pricing structure needs to also study wh