Method and apparatus for pricing products in multi-level product and organizational groups

Abstract

The invention organizes various pricing tables and price adjustment tables and various products and purchasing organizations based on “who” (i.e. which purchasing organization) is purchasing “what” (i.e. which product). The invention utilizes a denormalized table to relate the “who” to the “what” using denormalized numbers. The invention further organizes various purchasing organizations and products into hierarchical tables. These hierarchical tables are called organizational groups and product groups. Various price adjustments may be specified for each level of the organizational groups and product groups hierarchies. The price adjustments for a particular purchasing organization are determined by retrieving the price adjustments for that particular purchasing organization as well as the price adjustments for organizational groups above the particular purchasing organization in the organizational groups hierarchy. Likewise, the price adjustments for a particular product are determined by retrieving the price adjustments for that particular product as well as the price adjustments for product groups above the particular product in the product groups hierarchy. The invention sorts the various pricing adjustments applicable to a particular product offered to a particular purchasing group based on several criteria. After the sorting is accomplished the pricing adjustments are applied in sequence to arrive at a final price at which a particular product can be sold to a particular purchasing organization.

1 . A method for determining price of a product offered to a purchasing organization, the method comprising the steps of: 
 arranging a hierarchy of organizational groups;    arranging a hierarchy of product groups;    identifying at least one organizational group above said purchasing organization in said hierarchy of organizational groups;    identifying at least one product group above said product in said hierarchy of product groups;    retrieving pricing adjustments corresponding to said product, purchasing organization, at least one organizational group, and at least one product group;    determining said price of said product by applying said pricing adjustments.    
     
     
         2 - 50 . (canceled)