Which of the following assumptions is the strategy of pricing above the market based on?
A) Higher price implies higher quality.
B) Higher price means higher customer support.
C) Higher prices mean higher customer satisfaction.
D) Higher price creates higher demand.
E) Higher price means easier distribution.

Question

Quizplus · Accepted Answer

The strategy of pricing above the market is based on the assumption that a higher price implies higher quality. This can make the product more appealing to certain customers who equate higher price with better quality.

Which of the Following Assumptions Is the Strategy of Pricing