To gain market share, when Hyundai first entered the U.S. car market it did so with a comparatively low pricing strategy. One of the negative side effects of making this pricing decision is
A) a negative impact on consumers' perceptions of quality.
B) difficulty lowering the prices later.
C) a high return on investment level affecting tax balances owed.
D) poor survival chances.
E) higher developmental costs.

Question

Quizplus · Accepted Answer

By setting a low price point, consumers may interpret this as an indication of lower quality. This negative perception may be difficult to overcome and may ultimately impact sales and market share in the long run.

To Gain Market Share, When Hyundai First Entered the U