Experience-curve pricing assumes that ________.
A) competitors are weak and not willing to fight price cuts
B) competitors are strong and invincible
C) aggressive pricing adversely affects product image
D) volume-based production slows down organizational learning
E) lower-cost technologies are almost always inferior

Question

Quizplus · Accepted Answer

Experience-curve pricing assumes that competitors are weak and not willing to fight price cuts, allowing a company to reduce prices as it gains experience and reduces costs through increased production volume.

Experience-Curve Pricing Assumes That ________