Which of the Following Terms Describes a Pricing Strategy in Which

question 60

Multiple Choice

Which of the following terms describes a pricing strategy in which a new product's initial price is set high and then eventually lowered to appeal to a broader range of customers?

• A) Penetration pricing.
• B) Price skimming.
• C) Customer pricing.
• D) Designed pricing.
• E) Market-share pricing.

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Definitions:

Needs

Basic or psychological requirements for the well-being of an individual.

Autonomy

The degree of freedom and independence an individual or entity has to make choices and decisions without external control.

High Power Distance

A cultural dimension where there is a large gap between those in power and the common people, with a significant level of acceptance of the uneven distribution of power in institutions and organizations.

Authority

The recognized power or right of an individual or entity to make decisions, give orders, and enforce obedience.