Which factors typically affect pricing strategies in fashion merchandising?

The selected answer is correct because it encompasses the critical factors that directly influence pricing strategies in fashion merchandising.

Production costs are fundamental as they determine the minimum price at which a product can be offered while still covering expenses. The perceived value refers to how much consumers believe a product is worth, often based on brand reputation and quality, which can justify higher pricing. Competition plays a significant role as well; businesses need to be aware of rival pricing strategies in order to position their offerings appropriately in the market. The target market is crucial, as understanding the demographics, preferences, and purchasing power of the audience allows brands to set prices that align with what consumers are willing to pay. Lastly, overall brand positioning influences how a brand is viewed in the marketplace, which can either allow for premium pricing or require more competitive pricing depending on the brand's image.

The other options, while mentioning relevant factors, do not capture the comprehensive set that influences pricing strategies as effectively. Factors such as employee salaries, color trends, and consumer dissatisfaction may impact a business's operations or strategy, but they are not as directly linked to pricing strategies in the fashion merchandising context as the factors listed in the chosen answer.