Zhang Wei is opening an auto repair shop. Which of the following pricing approaches might disproportionately attract buyers who have cars in worse-than-average condition?
A)Three-tier pricing for repairs based on an initial assessment of repair needs - low-cost, average-cost, and high-cost repairs.
B)An hourly charge for time spent on repair plus cost of parts.
C)An hourly charge so the price is based on how long it takes to complete the repair.
D)A flat fee based on average costs for all repairs, with a 30-day guarantee.

Question

Quizplus · Accepted Answer

Option D, a flat fee based on average costs for all repairs with a 30-day guarantee, might disproportionately attract buyers with cars in worse-than-average condition because it offers a potentially lower cost for extensive repairs compared to other pricing models that charge based on the complexity or duration of the repair work.

Zhang Wei Is Opening an Auto Repair Shop