Hilda Wants to Purchase an Expensive Denim Jacket from Alven's

question 45

Multiple Choice

Hilda wants to purchase an expensive denim jacket from Alven's Corner,a premium apparel store.Her friend,Martha,suggests that Hilda buy the same jacket for half the price from a discount store in her neighborhood.Hilda,however,believes that the high cost of the jacket in Alven's Corner is an indication of its premium quality,and so she's willing to pay more.Which of the following psychological pricing strategies has Alven's Corner used to price its product?

• A)Odd pricing
• B)Prestige pricing
• C)Bundle pricing
• D)Option pricing

Identify the elements of service delivery processes including the experience economy and service blueprints.

Recognize the role of employees and employee actions in shaping customer perceptions of service quality.

Understand the concept and application of off-peak pricing to manage service demand.

Identify the expanded marketing mix (the seven Ps) for services and their significance in services marketing.

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Definitions:

Inventory Turnover

Cost of goods sold divided by average inventory.

Safety Stock

Inventory kept on hand as a buffer against supply or demand uncertainties, ensuring that stockout situations are minimized.

Holding Costs

The expenses associated with storing unsold goods or materials, including storage, insurance, and opportunity costs.

Housing Costs

The expenses associated with acquiring, maintaining, and using a place to live, including rent, mortgage payments, taxes, and maintenance fees.