Which of the Following Statements Regarding a Market Share Pricing

question 231

Multiple Choice

Which of the following statements regarding a market share pricing objective is most accurate?

• A) A market share objective is often difficult for product managers since stockholders are looking for immediate dividends (return of profits) and obtaining market share usually takes time.
• B) Although increased market share is a primary goal of some firms, others see it as a means to other ends, such as increased sales or profits.
• C) Selecting market share as a pricing objective is particularly effective if industry sales are rising.
• D) An advantage of market share as a pricing objective is that it is particularly insensitive to competitors' actions.
• E) Ironically, a market share objective is realized by raising prices in order to increase consumer confidence during the decline stage of a product's life cycle.

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