Which of the following is a reason why markup pricing is NOT practical?
A)By tying the price to cost,sellers simplify pricing.
B)When all firms in the industry use this pricing method,prices tend to be similar.
C)This method ignores demand.
D)Sellers earn a fair return on their investment.
E)With a standard markup,consumers know when they are being overcharged.

Question

Quizplus · Accepted Answer

Markup pricing ignores demand, which can lead to setting prices that are too high or too low based on consumer willingness to pay.

Which of the Following Is a Reason Why Markup Pricing