When the Economy Is Characterized by High Inflation,special Pricing Tactics

question 62

Essay

When the economy is characterized by high inflation,special pricing tactics are often necessary.One popular cost-oriented tactic is culling low-profit margin products from the product line.Why might this tactic backfire? What two other cost-oriented tactics can be used to guard against inflation? Describe these tactics.

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Definitions:

Garage Sales

Informal events where individuals sell their used goods, such as clothing, household items, and toys, to other individuals in a casual setting.

Marketing Channel System

A network of interdependent organizations involved in the process of making a product or service available for use or consumption by the consumer or business user.

Marketers

Professionals responsible for identifying customer needs and directing the flow of goods and services from producers to consumers.

Technologies

The application of scientific knowledge for practical purposes, especially in industry, where it involves the design and creation of tools, machines, systems, or processes.