Mention Four Types of Alternative Pricing Strategies and Briefly Explain

question 127

Essay

Mention four types of alternative pricing strategies and briefly explain how producers employ them.

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Definitions:

Invested Capital

The total amount of money that shareholders and debt holders have invested in a company for long-term use.

Idle Capacity

Unused or underutilized production or operational capacity within a business, often resulting in inefficiency and increased costs.

Excess Equipment

Unused or surplus machinery and tools that exceed the current production needs of a company.

Sales Increase

A rise in the volume or value of products or services sold by a business over a specific period.