Why Is Price Lining a Valuable Tactic for Marketing Managers

question 112

Multiple Choice

Why is price lining a valuable tactic for marketing managers?

• A)Price lining results in a greater inventory carrying charge.
• B)A company that uses price lining is able to carry a smaller total inventory and reduce 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.

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Definitions:

Middle Layer

Typically refers to the intermediate layer in a multi-layered structure, which could pertain to skin, geological formations, or other stratified materials.

Nerve Endings

The tips of nerve fibers where signals are received or sent, crucial for sensing and response mechanisms in the body.

Retina

The light-sensitive layer of tissue at the back of the inner eye that converts light into electrical signals for the brain.

Outer Protective Layer

Refers to the outermost layer of a structure or organ that serves as a barrier against external threats, such as the epidermis of the skin.