MANAGEMENT

Detailed explanation-1: -Penetration pricing is a marketing strategy used by businesses to attract customers to a new product or service by offering a lower price during its initial offering. The lower price helps a new product or service penetrate the market and attract customers away from competitors.

Detailed explanation-2: -A pricing strategy in which a company offers a relatively low price to stimulate demand and gain market share.

Detailed explanation-3: -Penetration pricing: With this pricing strategy, a business sets a low price on a new product or service in an attempt to gain significant market share quickly.

Detailed explanation-4: -Penetration pricing “Penetration pricing makes sense when you’re setting a low price early on to quickly build a large customer base, ” says Dolansky. For example, in a market with numerous similar products and customers sensitive to price, a significantly lower price can make your product stand out.