________ pricing is the approach of setting a low initial price in order to attract a large number of buyers quickly and win a large market share.
A)Market-skimming
B)Market-penetration
C)Above-market
D)Value-based
E)Follow-the-leader

Question

Quizplus · Accepted Answer

Market-penetration pricing involves setting a low initial price to penetrate the market quickly and gain a large market share. The goal is to attract price-sensitive customers who are willing to switch brands for a lower price. Once the company has established itself in the market, it may gradually raise its prices to increase revenue and profitability. This pricing strategy is often used when a company has a new product or wants to expand its market share.

________ Pricing Is the Approach of Setting a Low Initial