A Firm Is Using ________ When It Charges a High,premium

question 62

Multiple Choice

A firm is using ________ when it charges a high,premium price for a new product with the intention of reducing the price in the future.

• A)price skimming
• B)trial pricing
• C)value pricing
• D)market-penetration pricing
• E)predatory pricing

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Definitions:

Availability Heuristic

A cognitive shortcut that depends on the first examples that spring to mind when assessing a particular subject, idea, technique, or choice.

Schizophrenia

A mental disorder characterized by disturbances in thought, perception, and behavior, causing significant impairment in social and occupational functioning.

Psychological

Relates to the mind or mental processes and how they influence behavior and well-being.

Biological Factors

Elements within the biological makeup of organisms, such as genetics, brain chemistry, and physiology, that influence behavior and mental states.