Which of the Following Statements Concerning "Negotiated Price" Is FALSE

question 256

Multiple Choice

Which of the following statements concerning "negotiated price" is FALSE?

• A) The negotiated price is set by bargaining between the buyer and the seller.
• B) Negotiated pricing is not a demand-oriented approach.
• C) Bargaining may involve the whole marketing mix, not just the price level.
• D) Sellers must know their costs to negotiate effectively.
• E) None of these statements about "negotiated price" is FALSE.

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Definitions:

Predatory Pricing

A strategy where a firm sets prices below cost with the intention of driving competitors out of the market, and then possibly raising prices to higher levels once competition is reduced.

Mark-up Pricing

A pricing strategy where a fixed percentage is added to the cost of producing a good or service to determine its selling price.

Direct Discrimination

Actions or policies that explicitly treat an individual or group less favorably than others based on prohibited grounds such as race, gender, or age.

Indirect Discrimination

Practices or policies that appear neutral but result in a disproportionate impact on a protected group without a justifiable reason.