A Pricing Strategy That Sets Prices Low in Order to Penetrate

question 19

Multiple Choice

A pricing strategy that sets prices low in order to penetrate the market is called a __________ strategy.

• A) skimming
• B) penetrating
• C) even pricing
• D) new pricing

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Definitions:

Supplies

Items or materials used in the operation of a business, often consumable in nature.

Owner's Equity

The residual interest in the assets of the entity after deducting liabilities, essentially the net assets owned by the proprietors.

Liability

Financial obligations or debts that a company owes to others, which need to be settled over time through the transfer of economic benefits including money, goods, or services.

Course Of Business

The usual activities and practices of a company or individual in their day-to-day operations.