Which pricing policy is probably "best" for a profit-oriented, low-cost producer who is introducing a new product into a market with elastic demand and is expecting strong competition very soon after product introduction?

Which pricing policy is probably "best" for a profit-oriented, low-cost producer who is introducing a new product into a market with elastic demand and is expecting strong competition very soon after product introduction?



A. Skimming pricing

B. Introductory price dealing

C. Meeting competition pricing

D. Penetration pricing

E. Status-quo pricing



Answer: D. Penetration pricing


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