Skimming pricing is a strategy based on the concept that average unit production costs continue to go down as cumulative output increases.

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Skimming pricing is a strategy where a high initial price is set for a new product to "skim" maximum revenues layer by layer from segments willing to pay the high price; it does not primarily focus on the relationship between unit production costs and cumulative output.

Skimming Pricing Is a Strategy Based on the Concept That