Which of the following pricing objectives has the most influence on Rolex's pricing strategy?
A) profitability
B) prestige
C) meeting the competition
D) volume

Question

Quizplus · Accepted Answer

The prestige pricing objective has the most influence on Rolex's pricing strategy. Rolex is known for its high-end luxury watches that are associated with wealth and prestige. Therefore, they price their watches at a premium to maintain their exclusive brand image and appeal to their target market of affluent consumers. While profitability and meeting the competition may also factor into Rolex's pricing decisions, these objectives are secondary to the company's focus on maintaining their brand prestige. Volume pricing is not a consideration for Rolex, as they prioritize quality and exclusivity over mass production and sales volume.

Which of the Following Pricing Objectives Has the Most Influence