A Retailer That Uses the List Price for Products but Runs

question 147

Multiple Choice

A retailer that uses the list price for products but runs frequent promotions that heavily discount some products is using which type of pricing strategy?

• A) price skimming
• B) trial pricing
• C) penetration pricing
• D) peak load pricing
• E) high/low pricing

---

Definitions:

Cognitive Psychology

The branch of psychology that studies mental processes such as perception, thought, memory, and reasoning.

Political Science

The academic discipline that studies the theory and practice of politics and analyzes political systems, behaviors, and activities.

Cross-Cultural Research

A scientific approach that compares cultural contexts to understand the universality or variability of human behaviors, values, and beliefs.

Exchange Relationships

Relationships based on reciprocity and fairness, in which people expect something in return.