What Is the Short-Sighted Thinking Behind the Penetration-Pricing Strategy

question 58

Multiple Choice

What is the short-sighted thinking behind the penetration-pricing strategy?

• A)Pricing below competitors will lead to higher market share
• B)Gross margins should be very high for a new product.
• C)Loyal customers demand the lowest price.
• D)The simplest method of selective prices saves time.
• E)Prices should match the value of products.

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Definitions:

Fixed-Interval

A type of reinforcement schedule in operant conditioning where the first response is rewarded only after a specified amount of time has elapsed.

Schedule Of Reinforcement

A tactic in behavioral psychology that involves varying the frequency and timing of reinforcements to influence behavior.

Studying

Studying is the act of dedicating time and attention to acquiring knowledge on a subject, often through reading, analysis, and practice.

Reinforcement Schedule

A pattern that defines how often a desired response will be reinforced in operant conditioning.