A Penetration Strategy Tends to Be Effective in a Price-Sensitive

question 48

Multiple Choice

A penetration strategy tends to be effective in a price-sensitive market. What is one of the purposes of penetration pricing?

• A)to recoup product development costs quickly
• B)to discourage competitors from entering the market
• C)to produce a large margin of profit per unit
• D)to develop exclusive distribution

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Definitions:

Multivoting

A decision-making technique used in groups to narrow down a large set of options to a manageable number by allowing multiple votes.

Prioritization Matrix

A tool used to rank projects, tasks, or options based on their relative importance and urgency.

Collaborative Decision Making

The process by which multiple stakeholders work together to come to a decision regarding an issue or problem.

Brainstorming

A group creativity technique in which efforts are made to find a conclusion for a specific problem by gathering a list of ideas spontaneously contributed by its members.