Price for Nintendo's Wii Video Game Console Was Likely Insufficient

question 96

Multiple Choice

price for Nintendo's Wii video game console was likely insufficient to cover its fixed and variable costs.However,the price of its video games was set high enough to cover the video game console loss and deliver a handsome profit for the entire Nintendo product line.This example illustrates Nintendo's use of

• A) bundle pricing.
• B) product-line pricing.
• C) price lining.
• D) customary pricing.
• E) loss-leader pricing.

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