Port, an OEM of computer hardware, accounts for 6% of the computer hardware sold in the U.S. Retailers uses hardware from OEMs like Port to assemble personal computers. Owing to the competitive nature of the industry, Port's pricing is uniform with offerings from other manufacturers. The rise and fall in pricing is dictated more by the rise and fall in prices of raw material, labor, and utilities across the industry. Port's pricing strategy is focused on _____.

Question

Quizplus · Accepted Answer

Port's pricing strategy is focused on competitive parity where they price their products uniformly with offerings from other manufacturers in the industry. This suggests that Port aims to maintain its market share by offering competitive prices rather than trying to maximize profits or target specific returns.

Port, an OEM of Computer Hardware, Accounts for 6% of the Computer