Companies that employ ________ offer discounted but limited early purchases, higher-priced late purchases, and the lowest rates on unsold inventory just before it expires.
A) psychological pricing
B) low-interest financing
C) yield pricing
D) loss leaders
E) special event pricing

Question

Quizplus · Accepted Answer

The pricing strategy described in the question is yield pricing, which involves offering different prices to different customers based on their willingness to pay. In this case, the company is offering discounted early purchases to entice early adopters, higher-priced late purchases for those who place less value in early access, and the lowest rates on unsold inventory right before it expires to encourage those who might not have been willing to pay the initial prices. This is a common pricing strategy in industries such as airlines, hotels, and entertainment.

Companies That Employ ________ Offer Discounted but Limited Early Purchases