Edvard works at a ski shop. He has just gotten a shipment of new snowboards and realizes that the company has priced its snowboards higher than the rest of the boards in his shop. Since Edvard took a marketing class in college, he knows that the company is most likely using ________.
A) product line pricing
B) captive pricing
C) price bundling
D) reference pricing
E) prestige pricing

Question

Quizplus · Accepted Answer

The company is most likely using prestige pricing, where they charge a higher price for their product to convey a sense of exclusivity and higher quality.

Edvard Works at a Ski Shop