Which of the following pricing policies involves entering a market with a single low price and not significantly increasing the price even upon gaining a major market share?
A) Introductory price dealing
B) Temporary price cut policy
C) Skimming price policy
D) Penetration price policy
E) Zone pricing policy

Question

Quizplus · Accepted Answer

This pricing policy is known as the penetration price policy. It involves entering a market with a low price and keeping it low even after gaining a significant market share. The goal is to attract customers and gain a foothold in the market, with the hope that they will become loyal and continue to purchase even if the price is raised in the future. This strategy is commonly used in industries with high competition and low entry barriers.

Which of the Following Pricing Policies Involves Entering a Market