New Product Pricing Using Fuzzy Logic Type-2

The process of pricing a new product is quite challenging since it involves several factors which are blended with uncertainties caused by dynamic condition. The decision of product pricing will effect to the competition ability in the market. However, since the factors are blended with uncertainties, it is necessary to develop a system that could model the uncertainties for obtaining reasonable price. This study focuses on modelling the uncertainties using Fuzzy Logic Type-2 (FLT2). The reason of the use of FLT2 instead of FLT1 is because of the ability of FLT2 to cope with uncertainties better compared to the FLT1. This study refers to a previous study that was conducted by Haji and Assadi in 2009 in determining the factors that affect to a new product pricing. A new important factor that has not been considered in such study has been added in this study, which is product warranty. The result shows that the proposed FLT2 able to model uncertainties in product pricing and resulting reasonable price for a new product.