When Nintendo Sets a Relatively Low Price on Its Game

question 25

Multiple Choice

When Nintendo sets a relatively low price on its game units to stimulate more demand for its game cartridges, it is using

• A) complementary product pricing.
• B) product-bundle pricing.
• C) price lining.
• D) bait pricing.
• E) cost plus pricing.

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Definitions:

Emergent Strategies

Refers to unplanned strategies that evolve naturally due to changes in the internal and external environments of an organization.

Social Conduct

The behaviors and actions that are considered acceptable or expected by society or within a specific community.

Strategic Planning Process

A comprehensive process that organizations use to define their strategy, direction, and make decisions on allocating their resources, including capital and people, to pursue this strategy.

Low-Cost Provider Strategy

A commercial approach focusing on maintaining operational efficiency to offer products or services at the lowest price possible without sacrificing quality.