In the context of the various pricing strategies, loss-leader pricing means:
A) capturing as much of the market as possible through permanent rock-bottom prices.
B) long-term discount pricing, designed to achieve profitability through high sales volume.
C) pricing a handful of items temporarily below cost to drive traffic.
D) sending consumers a message about the exclusivity of a product through its high pricing.

Question

Quizplus · Accepted Answer

Loss-leader pricing involves temporarily pricing a few items below cost to attract customers into the store, with the hope that they will purchase other items at regular prices.

In the Context of the Various Pricing Strategies, Loss-Leader Pricing