Xerox pioneered the first portable fax machine. In 1980, the price was $12,700. Xerox used __________ pricing strategy to help recover its research and development costs.

Question

Quizplus · Accepted Answer

Xerox used a skimming pricing strategy to help recover its research and development costs. Skimming involves setting a high price for a new product with unique features or benefits in order to recoup development costs quickly before competitors enter the market and drive down prices.

Xerox Pioneered the First Portable Fax Machine