Exploring the Internal and External Factors Influencing Pricing Strategies of SMEs in Northern Katutura, Windhoek, Namibia

The study main objective was to explore the internal and external factors influencing pricing strategies of SMEs in Northern Katutura, Windhoek, Namibia. The study adopted an interpretivism paradigm which served as the philosophical foundation for this research, which adopted a qualitative approach. The study targeted population was drawn from SMEs in Northern Katutura operating in various sectors. The population also include managers/owners and general staff members in the SMEs. A sample size of 45 SMEs participated in the study which was deemed as a good sample size for the study. An open-ended questionnaire was used to collect data from participants, the data collected was analysed using thematic analysis. The study revealed that internal factors influencing pricing strategies of SMEs were organisational objectives, costs, promotional activities, degree of product differentiation and product life cycle. The study concluded that the pricing of goods and services offered by small and medium-sized enterprises (SMEs) in Northern Katutura, Windhoek, Namibia is significantly affected by both internal and external factors. The study recommended that government agencies should adhere to the guidelines provided by the SMEs when formulating pricing-related policies so that the resulting regulations can help the SMEs set prices for their products that will be profitable.