You just saw an advertisement in the newspaper for a very inexpensive big screen television on sale at a local department store. The ad implies the TV has all the features that a customer would want in that type of TV. You get to the department store and the television that is on display that matches the price does not look like the TV in the ad, nor does it have the functions that you would expect in a big screen TV. The salesperson tells you that you should look at the model staged next to the model on sale, which has all the features you are looking for, but is $200 more. What do you think the pricing strategy is that this company used in this instance?

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The Answer of You just saw an advertisement in the newspaper for a very inexpensive big screen television on sale at a local department store. The ad implies the TV has all the features that a customer would want in that type of TV. You get to the department store and the television that is on display that matches the price does not look like the TV in the ad, nor does it have the functions that you would expect in a big screen TV. The salesperson tells you that you should look at the model staged next to the model on sale, which has all the features you are looking for, but is $200 more. What do you think the pricing strategy is that this company used in this instance?

You Just Saw an Advertisement in the Newspaper for a Very