Setting the price of a new product higher than expected in order to recover development costs is known as ______.

Name: Setting the price of a new product higher than expected in order to recover development costs is known as ______.
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Question

Quizplus · Accepted Answer

Price skimming is a pricing strategy where a firm charges a high initial price for a product, gradually lowering the price over time. This approach is often used to recover the development costs quickly.

Setting the Price of a New Product Higher Than Expected