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Suppose an Advertising Agency Develops Logos for Its Clients

Question 109

Multiple Choice

Suppose an advertising agency develops logos for its clients.It charges $10,000 per logo-whether the team that's working on the logo takes 30 minutes or days to design the logo.Agency management explain that clients pay for the agency's expertise and creativity,not the amount of time it literally takes to develop a logo.This pricing approach is known as:


A) professional services pricing
B) potential (or base) pricing
C) price maintenance
D) psychological pricing
E) flexible (or variable) pricing

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