Both Robin and Kenya went to buy a black sweater. Kenya bought hers at Dillard's and paid $79. Robin bought a similar one at Sears and paid $34.95. Kenya is convinced her sweater is much superior to Robin's because it is more expensive than his. Identify the psychological factor because of which Kenya buys a high priced item.
A) The use of odd pricing which made her feel like she got more for her money.
B) The use of prestige pricing which means the high price was used to signal high quality.
C) The use of bundle pricing which stresses both value and convenience to Kenya, and validates the high price of the sweater.
D) The use of price elasticity which determines Kenya's and Robin's price sensitivity.
Correct Answer:
Verified
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