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Give the Purpose of FAD and FMN

question 21

Essay

Give the purpose of FAD and FMN.


Definitions:

Market Skimming

A pricing strategy involving setting high prices initially to target customers willing to pay more before lowering prices to attract a broader market.

Razorblade Strategy

A business model where the initial product is sold at a low price, and profit is generated from selling complementary goods.

Market Share

A measure of the percentage of sales within a market that is held by one product or company.

Survival Pricing

A pricing strategy adopted by companies to set prices at a level that covers basic costs, aiming to maintain business operations during adverse conditions.

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