When Polaroid Comes Out with a New Model in a Series

question 15

Multiple Choice

When Polaroid comes out with a new model in a series, it sets an initial price, which is very high and then gradually lowers the price.Polaroid is initially using which pricing strategy?

• A) penetration pricing
• B) prestige pricing
• C) price lining
• D) premium pricing
• E) price skimming

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Definitions:

Developed Nations

Countries with relatively high levels of industrialization, income per capita, and standards of living.

Vitamins

Organic compounds required in small amounts for essential metabolic reactions in the body, often obtained through the diet.

Minerals

Natural, inorganic substances that are essential for various bodily functions, including building bones and making hormones.

Thyroid-Stimulating Hormone

A hormone produced by the pituitary gland that regulates the production of hormones by the thyroid gland.