David likes New Balance running shoes. However, when he stopped by the Foot Locker to buy a new pair of running shoes, he noticed that Nike had a new pair of running shoes that cost $350. To David, the higher price of the Nike shoe indicated that it would be a better pair of running shoes. This is an example of:
a. premium pricing.
b. price lining.
c. prestige pricing.
d. exclusive pricing.
e. selective pricing.
ANSWER: c