Which of the following is a key benefit of penetration pricing?
A) It increases traffic in retail stores by special sales on a limited number of products.
B) Profitability is not dependent on the volume of sales.
C) It tends to discourage competitors.
D) Each individual sale typically yields a high profit.

Question

Quizplus · Accepted Answer

Penetration pricing involves setting a low price to attract customers and gain market share, which can discourage competitors from entering the market due to the low-profit margins.

Which of the Following Is a Key Benefit of Penetration