If a business is struggling to make money, should they raise their prices to increase profits, or lower prices to attract more customers?

Hi Kolapo, my thoughts: While pricing is an important aspect in product marketing, there is so much more to consider. For instance, what is the positioning of the offering, and more importantly, of the brand in the market place? What is the positioning of the brand in the minds of the target audience (mind space)? 

When done well, strong positioning can actually help companies increase pricing to gain better margins while also gaining market share. 

Lowering prices could be considered, but only if it does not lead to a potential "slippery slope" as competing on price only could ultimately lead to a losing battle. 

If a business is struggling to make money, it should take a closer look at its overall strategy and seek opportunities to be more innovative, gain a more competitive advantage and/or find legitimate ways to increase barriers to entry, etc. before jumping to change the price tag. 

I think it depends on the value of the product in the market. If the product is priced at a rate that the customer is willing to pay, then you shouldn't have to change it. If not, then consider lowering or raising it to meet customer expectations. Do some customer research to be sure of this.

Another option is to diversify your product offering or, depending on the brand, find ways to make money in other areas like partnerships, advertising, etc.