Why Is Price Lining a Valuable Tactic for Marketing Managers

question 12

Multiple Choice

Why is price lining a valuable tactic for marketing managers?

• A) Price lining results in a greater inventory carrying charge.
• B) It reduces confusion for its customers.
• C) A company that uses price lining has more price markdowns and greater markup.
• D) The price lining strategy allows the company to gain brand loyalty from its targeted segments.
• E) Price lining tends to confuse customers and requires them to listen closely to the salesperson's pitch.

---

Definitions:

Public Companies

Corporations whose shares are traded publicly on stock exchanges, subject to regulatory oversight and required to disclose financial information.

Big Data

Vast collections of data that, when computationally analyzed, can expose patterns, trends, and connections, with a special focus on human behavior and interactions.

Microsegment

A very specific group of customers within a market, characterized by particular and distinct preferences or needs.

Big Data

Massive datasets that can be examined through computational methods to uncover patterns, trends, and relationships, particularly in the context of human behavior and interactions.