Hilfiger made a decision to establish higher price in European countries than in the U. S. because the customer's preferences and preferences are different in both market segments. Hilfiger has experienced some different countrywide preferences. They do not brain to pay more $50 more than the highest priced Hilfiger's t-shirt in the U. S. So price strategy of Hilfiger must be place by concentrating on the local responsiveness. Hilfiger has modified its product to the European preference for thinner looking skinny jeans and smaller logos on tee shirts. Hilfiger has generated a line of more luxury items such as leather jackets and cashmere sweatshirts for Italian market. Additionally transportation cost of the merchandise also makes an escalation in the Hilfiger's product price in Western european market.
Financial marketplaces are mechanisms (formal and informal) that allow people to trade financial securities, goods and other items of value at a price. For many years now, these markets have contributed positively to the development of a nation's economy, but their constant efficiency has been debated by scholars. Among such reviews is Eugene Fama (1970) which facilitates the assertion that financial marketplaces are "efficient" (that is, a market which prices always completely reflect available information).
The Efficient Market Hypothesis (EMH) views prices of securities in the financial markets as totally reflecting all available information. This theory of effective capital marketplaces is reinforced by the academic field of financing. However, the validity of the hypothesis has been questioned by critics in recent years.