Almost all fast-food restaurants offering a short menu with low prices to compete with the other restaurants. These are intended to attract very price conscious consumers and are usually a "dollar menu" or offered at prices such as $.99 and $1.49. This approach is referred to as:
A) value pricing.
B) deep discounting.
C) cost-plus pricing.
D) basic pricing.

Question

Quizplus · Accepted Answer

Value pricing is a strategy where businesses set prices primarily based on consumer perceptions of value rather than solely on production costs. The approach of offering a short menu with low prices, like a "dollar menu," to attract price-conscious consumers is a classic example of value pricing.

Almost All Fast-Food Restaurants Offering a Short Menu with Low