What is the primary role of the condition type in the pricing process?

The primary role of the condition type in the pricing process is to control the properties of pricing conditions. It serves as a fundamental element in determining how prices are calculated within the sales processes in SAP S/4HANA. Each condition type specifies various attributes that are essential for pricing, including the calculation method (such as fixed values, percentages, or other formulas), the condition class (e.g., whether it represents a price, discount, surcharge, etc.), and the validity periods for which the pricing applies.

By defining these properties, condition types enable a flexible and modular approach to pricing, allowing companies to create complex pricing structures tailored to specific sales scenarios. This could involve different pricing strategies for various customer segments, products, or regions.

In this context, establishing delivery schedules or managing customer credit limits does not directly relate to the role of condition types in pricing. Discount percentages can indeed be affected by condition types, but they are just one aspect of the broader functionality that condition types serve in the overall pricing mechanism.