The fact that a hot dog cost five times more at Disneyland than at Sam's Club is an example of ________.
A)allowance pricing
B)captive product pricing
C)penetration pricing
D)segmented pricing
E)promotional pricing

Question

Quizplus · Accepted Answer

Captive product pricing occurs when a company sells a product at a high price because consumers have no other options to purchase the product. In this case, Disneyland is the only place where consumers can purchase a hot dog while they are at the park, so they are willing to pay a higher price for it.

The Fact That a Hot Dog Cost Five Times More