Describe the three possible relationships among perceived value, price and cost, ignoring competition for the present

What will be an ideal response?

a. Perceived value > price > cost – in this case, the marketing manager has set a price, either intentionally or mistakenly, below what customers would be willing to pay for the product or service. From the customer's standpoint, the product is a bargain.
b. Price > perceived value > cost – in this unfortunate situation, the manager has set a price that is higher than the target market is willing to pay. The customer looks at this situation as a bad deal and, unless the company has a monopoly or some other kind of market power, does not buy.
c. Price > cost > perceived value – this scenario clearly represents failure. Usually, such products are weeded out in the new product development process. If not, they are ultimately withdrawn from the market.