A Penetration Strategy Tends to Be Effective in a Price-Sensitive

question 129

Multiple Choice

A penetration strategy tends to be effective in a price-sensitive market.Thus,one of the purposes of penetration pricing is to:

• A) recoup product development costs quickly
• B) discourage competitors from entering the market
• C) produce a large margin of profit per unit
• D) develop exclusive distribution
• E) attract the price-insensitive buyer who demands the latest in technology

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Definitions:

White Matter

The part of the brain and spinal cord composed of myelinated nerve fibers that facilitates communication between different brain regions and between the brain and spinal cord.

CNS

The central nervous system, comprising the brain and spinal cord, which coordinates and controls most bodily functions.

Myelinated Axons

Axons that are coated with myelin, a fatty substance that speeds up the transmission of nerve impulses, enhancing the efficiency of the nervous system.

Action Potentials

Electrical impulses that are the means by which information is transmitted along neurons and muscle cells.