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Which Pricing Method (Skimming,penetration,or Status Quo)would Be Most Appropriate for Each

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Essay

Which pricing method (skimming,penetration,or status quo)would be most appropriate for each of the following products: (1)a new kind of automatic vacuum cleaner; (2)brightly colored wooden blocks to be used as a child's toy; (3)a new,low-cost,no-calorie fat substitute; (4)a home computer;and (5)a designer perfume.Briefly justify your answers.


Definitions:

Dependent Variable

In an experiment, the dependent variable is the variable that is being tested and measured, and is 'dependent' on the independent variable.

Residual

The difference between the observed value and the estimated value of the quantity of interest.

Correlation Coefficient

Quantitative assessment designed to determine the magnitude and directionality of a linear association between two variables.

Regression Analysis

A statistical method for estimating the relationships among variables, particularly the relationship between a dependent variable and one or more independent variables.

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