Scenario 21.2 Use the Following to Answer the Questions

question 127

Multiple Choice

Scenario 21.2
Use the following to answer the questions.
Glenwood Pet Hospital is considering implementing a new pricing strategy for its veterinarian services.After reviewing the previous three years' revenue,Glenwood finds that most of its customers bring their pets in for the required annual vaccinations and then only if the animal is ill.Glenwood's objective is to generate more income per customer on an annual basis.The hospital has previously priced its services by charging a flat fee for the office visit,a fee for each vaccine,and a fee for each type of examination beyond the basic office visit.Most customers pay the flat office fee and a fee for a rabies vaccine.Glenwood is now considering a new plan where the pet owner would pay one fee that would cover an office visit,the required rabies vaccine,and additional vaccines that prevent heartworm,kennel-cough,and fleas.Glenwood hopes to encourage the pet owners to view their pet's health as part of a prevention program,rather than a one-time annual visit.
-Refer to Scenario 21.2.Glenwood has decided that it is going to offer a special package offer if the prevention plan is purchased within the first 30 days of each year's time for vaccinations.This type of pricing strategy would be an example of

• A)customary pricing.
• B)secondary-market pricing.
• C)introductory pricing.
• D)periodic discounting.
• E)random discounting.

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Definitions:

Introduction Section

The initial part of a document, presentation, or book that sets the context, introduces the main topics, and outlines the purpose or objectives.

Incorporating Quotations

The act of embedding excerpts from other sources into one's own writing or speeches to support a point or argument.

Business Proposals

Detailed documents offering a specific product or service to a potential buyer or client.

Indented Quotations

Quoted texts that are set off from the main body of text by indentation, used to highlight or emphasize them in a document.