Skimming Pricing Is a Strategy That Introduces a New or Innovative

question 47

Multiple Choice

Skimming pricing is a strategy that introduces a new or innovative product by

• A) following a price elastic strategy.
• B) creating multiple price points.
• C) setting a high initial price.
• D) setting a low initial price.
• E) setting the price at the average of competitors' prices.

Recognize strategies to manage inventory and order supplies to prevent shortages and overstocking.

Comprehend the concept and advantages of purchasing groups and how they can benefit medical practices.

Know the average percentage of gross income medical offices spend on supplies and the impact on budgeting.

Understand the procedures for dealing with supply vendors including negotiation, comparison pricing, and payment terms.

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Definitions:

Increase in Demand

A situation where there is a rise in the quantity of a product or service that consumers are willing and able to purchase at existing prices.

Inferior Good

A type of good whose demand decreases as the income of the consumer increases, opposite to what happens with normal goods.

Normal Good

A type of good for which demand increases as the income of the consumer increases.

Normal Good

A good whose demand increases as consumers' income rises, holding all other factors constant.