Which of the following statements is true of price skimming?
a. Successful skimming strategies are limited to products and do not extend to services.
b. Firms often believe it is better to test a market at a lower price and then raise the price if sales are not as projected.
c. A skimming strategy will discourage competitors from entering a market.
d. A successful skimming strategy enables management to recover its product development costs quickly.
Answer: d.