If a firm prices its product low worldwide in an attempt to build global sales volume as rapidly as possible, even if this means taking large losses initially, what kind of strategy is it pursuing?
A) experience curve pricing
B) multipoint pricing
C) economy pricing
D) predatory pricing
E) premium pricing

Question

Quizplus · Accepted Answer

The firm is pursuing an experience curve pricing strategy, which involves setting low prices to increase sales volume quickly, thereby gaining experience and reducing costs over time, even if it means incurring initial losses.

If a Firm Prices Its Product Low Worldwide in an Attempt