Skimming represents an attempt to recover start-up costs as quickly as possible.

Name: Skimming represents an attempt to recover start-up costs as quickly as possible.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Skimming is a pricing strategy in which a company sets a high price for a new product or service with the intention of recouping its start-up or development costs quickly. This is done before competitors enter the market and start to lower prices, thereby reducing profit margins.

Skimming Represents an Attempt to Recover Start-Up Costs as Quickly