Chapter 11 (DR)
In the early periods of the introduction of HDTV, the prices were extremely high. The strategy being used is considered to be what?
Price skimming
Which of the following product mix pricing strategies involves pricing products that can only be used with the main product?
captive product pricing
If Detroit DLX charges the same price for the delivery of its product to customers located in the states near the Great Lakes, but a different price to customers elsewhere, the company is using ________.
zone pricing
Which of the following would most likely lead to a company initiating a price increase?
over-demand
To combat a competitor's price cut or lower-priced store brands, a national brand such as Luvs disposable diapers was launched along with P&G's flagship brand of disposable diapers, Pampers. Which type of brand is Luvs considered to be in this case?
Fighter brand
________ allowances are payments or price reductions that reward dealers for participating in advertising and sales support programs.
Promotional
Which of the following is a price adjustment strategy that considers how a customer's perception of a product is influenced by its price?
psychological pricing
Amazon developed the Kindle electronic book reader and sells it at a reasonably low margin. The firm uses which pricing strategy to capture additional profits through the sale of easily downloaded online books and magazines?
Captive-product pricing
Marketing managers will temporarily price their products below list price and sometimes even below cost to create buying excitement and urgency. Which one of the following pricing tactics relates to geographic pricing instead of promotional pricing?
FOB-origin pricing
Companies introducing a new product can choose between two broad strategies. One is market-skimming pricing. Which of the following is an alternative strategy?
Market-penetration pricing