[buck746]

The catch is that if you charge less than a small difference to your next closest competitor people will think something is wrong with it. Saw it happen many times working at an antique store for years. It was amazing how often raising prices made things sell that had been sitting there for months, or longer. You rarely want to make something too inexpensive, along with never using the word "cheap". There's also issues with trying to give something away for free. Generally people value something more depending on what they paid for it. Upscale brands like Coach and Channel exploit that aspect of consumer psychology.