A manager at Myer designs the casual clothing department so that Myer's private-label jeans, priced at $29.99, are displayed next to a national brand of jeans, such as Levi's, priced at $37.99.Which pricing strategy is the manager attempting to use?
A)Everyday low prices
B)Odd-even pricing
C)Prestige pricing
D)Special-event pricing
E)Reference pricing

Question

Quizplus · Accepted Answer

The manager is attempting to use reference pricing by displaying Myer's private-label jeans next to a national brand that is priced higher. This draws attention to the fact that Myer's jeans are priced lower than the reference price of the national brand, making them seem like a better value.

A Manager at Myer Designs the Casual Clothing Department So