The retail price of laser printers has decreased from $900 to less than $200 over several years. This is due in large part to:
A)skimming pricing.
B)prestige pricing.
C)experience curve pricing.
D)odd-even pricing.

Question

Quizplus · Accepted Answer

The decrease in retail price of laser printers is due to experience curve pricing, which is the practice of reducing prices as production experience increases. As more units are produced, manufacturers become more efficient at producing the product, leading to lower costs and therefore lower prices for consumers. Skimming pricing refers to setting high prices for new products, prestige pricing involves setting high prices to create an image of quality and exclusivity, and odd-even pricing involves setting prices ending in odd or even numbers for psychological appeal. None of these pricing strategies apply to the decrease in laser printer prices.

The Retail Price of Laser Printers Has Decreased from $900