The Pricing Policy Used by Middleton Industries,manufacturer of Renaissance Charms

question 179

Multiple Choice

The pricing policy used by Middleton Industries,manufacturer of Renaissance charms for bracelets and necklaces,is to set prices so that its retail prices are as high as the market will tolerate.Additionally,Middleton strives to keep its costs at an industry low by using silver and gold overlays over charms made of cheap base metal.This is an example of what type of policy?

• A) profit maximization
• B) market share pricing
• C) demand-oriented
• D) sales maximization

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Definitions:

Product Succeeds

When a product achieves its intended goals, such as profitability, market share, or customer satisfaction.

Satisfying Needs

The process of fulfilling basic and psychological desires or requirements of individuals or communities.

Consumer Behaviour

Researching the behaviors of individuals, groups, or corporations in how they identify, secure, use, and eliminate offerings such as products, services, experiences, or ideas to address their necessities, and examining the impact of these behaviors on consumers and societal structures.

Purchase

The process of purchasing products or services.