MKTG 409- Chapter 20

Which of the following is a requirement for setting pricing objectives?

The objectives should be explicitly stated.

Refer to Scenario 20.2. Glenwood's new pricing strategy is an example of ____ pricing.

bundle

Lexmark sells some of its color printers for about $100, but the refill cartridges cost over $30 each. Lexmark's pricing strategy would be best labeled as

captive pricing

Which of the following pricing objectives sets prices to recover cash as quickly as possible?

cash flow

If Nabisco wants to quickly gain a large market share with its new line of reduced-fat snack crackers, it should use

penetration pricing

To attract customers into a store, Safeway advertises its milk at less than cost, hoping that customers will purchase other groceries as well. This pricing strategy is called

price leader pricing

Most pricing objectives based on ____ are achieved by trial and error because not all cost and revenue data are available when prices are set.

return on investment

Chris is planning three sales during the third quarter of the year at Toys R' Us. The first is at the beginning of the school year, the second is the week before Halloween, and the third is Black Friday. These sales would be considered to be

special-event pricing

Maintaining a certain market share, meeting competitors' prices, maintaining a favorable image, and achieving price stability are all associated with a ____ pricing objective.

status quo

The Office Place is an office supplies company who has just adjusted its price levels so that it can increase its sales volume to match its expenses. The Office Place is most likely employing a(n) ____ objective.

survival