To gain market share, when Hyundai first entered the U.S. car market it did so with a comparatively low pricing strategy. One of the negative side effects of making this pricing decision is:
A) absence of product trial by the target market.
B) difficulty raising the prices later.
C) a high return on investment level affecting tax balances owed.
D) poor survival chances.
E) higher developmental costs.

Question

Quizplus · Accepted Answer

When a company enters a market with a low pricing strategy, it can be difficult to raise prices later without losing customers who were attracted by the low prices initially.

To Gain Market Share, When Hyundai First Entered the U