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When a Financial Institution Considers Charging Additional Convenience Fees for Things

question 42

Multiple Choice

When a financial institution considers charging additional convenience fees for things such as calling into customer service or visiting a teller in person they may be attempting to ____________ a customer segment group.


Definitions:

Price Skimming

Price Skimming is a pricing strategy where a higher initial price is set for a new or innovative product, gradually lowering the price over time as the market saturates or competition increases.

Psychological Pricing

Setting the price of a product in a way that will alter its perception by customers.

Market Share

Market Share is the portion of a market controlled by a particular company or product, often represented as a percentage of total sales in a specific industry over a given time frame.

Penetration Pricing

A pricing strategy where a new product is introduced to the market at a significantly lower price than the competition to gain market share quickly.

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