When General Motors Introduced the Saturn, It Priced the SL

question 16

Multiple Choice

When General Motors introduced the Saturn, it priced the SL sports sedan at $2,000 less than the Toyota Corolla DLX and $1,500 less than comparable Nissan and Honda automobiles. What pricing strategy is this an example of?

• A) skimming
• B) loss-leader
• C) competitive
• D) penetration