BUSINESS ADMINISTRATION
MARKETING MANAGEMENT
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Question
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Detailed explanation-1: -Which of the following is true about competitive pricing? It is at a medium level, somewhere in between extremes, using competitors’ prices as a starting point, and adjusting from there.
Detailed explanation-2: -Penetration pricing-used to gain entry into a new market. The objective for employing penetration pricing is to attract and grow market share.
Detailed explanation-3: -Companies can choose many ways to set their prices. We’ll examine some common methods you often see. Many stores use cost-plus pricing, in which they take the cost of the product and then add a profit to determine a price. Cost-plus pricing is very common.
Detailed explanation-4: -Charm pricing is also known as psychological pricing. It’s the belief that a price can have a psychological impact. Retailers can then use that psychological influence to sway customers to buy their products or perceive them a certain way.