Pricing expertise has a direct impact on enterprise value. Private equity firms are looking at pricing as one of the first areas to improve when the take over a company. Analysts are paying more and more attention to pricing as they evaluate public companies and make buy/sell recommendations. What are the five questions boards need to be asking leadership teams about pricing?

Pricing power has a huge impact on how investors see your company. One rule of thumb used in due dilligence is to ask, 'Can this company raise its prices?' If the answer is no, or if there is a lot of downward pressure on prices, then company valuation goes down. Smart companies understand their pricing power and are taking steps to increase it.