A retailer who uses an everyday low pricing (EDLP) strategy tends to
A) frequently use sales to increase store profits.
B) find that this method actually increases the probability of stockouts.
C) advertise more than those who rely on high/low pricing.
D) reduce stockouts and improve inventory management.

Question

Quizplus · Accepted Answer

One of the advantages of EDLP pricing strategy is to reduce stockouts and improves inventory management.

A Retailer Who Uses an Everyday Low Pricing (EDLP) Strategy