Miranda owns a chain of handbag shops across England and Wales. She has spotted a good location to set up a shop in Edinburgh but her handbags aren't well known in Scotland and there is quite a lot of competition. She thinks it's worth a try anyway and decides to undercut the competition, at least until she gets known. What pricing strategy is Miranda following?

Question

Quizplus · Accepted Answer

Miranda is using a market penetration pricing strategy, which involves setting a low price to enter a competitive market and attract customers quickly.

Miranda Owns a Chain of Handbag Shops Across England and Wales