In Response to Duracell's Introduction of the Duracell Ultra Battery

question 87

Multiple Choice

In response to Duracell's introduction of the Duracell Ultra battery, Energizer introduced an Advanced Formula battery. But unlike Duracell, Energizer priced its batteries at a low initial price to attract the mass market. In this case, Energizer used

• A)penetration pricing.
• B)prestige pricing.
• C)skimming pricing.
• D)price lining.
• E)cost-plus fixed-fee pricing.

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Definitions:

Title Fees

Fees associated with the transfer of ownership of property, such as legal costs or registration fees.

Parking Lot

An area designated for the parking of vehicles.

Paving

The process of covering a surface or area with pavement, typically using materials like asphalt or concrete, to create a hard, durable surface for vehicles or foot traffic.

Demolish Old Building

The process of tearing down or destroying an outdated or dilapidated building, often to clear the site for new construction or uses.