A pricing strategy based on what rival businesses are charging is known as ________ -based pricing.
A) cost
B) demand
C) competition
D) supply
E) psychological

Question

Quizplus · Accepted Answer

Competition-based pricing is a pricing strategy in which prices are determined based on what rival businesses are charging for similar products or services. This strategy is often used when a company wants to remain competitive in the market and avoid losing customers to competitors. The focus is on setting prices at a level that is comparable to that of the competition, rather than on maximizing profits or minimizing costs.

A Pricing Strategy Based on What Rival Businesses Are Charging