An approach to pricing based on the prices charged by competitors or on the likely response of competitors to the organisation, is known as:
A) cost-plus pricing.
B) cost-based pricing.
C) competition-based pricing.
D) geographic pricing.

Question

Quizplus · Accepted Answer

explain the role of competitive analysis in determining pricing. Competition-based pricing is an approach to pricing based on the prices charged by competitors or on the likely response of competitors to the organisation.

An Approach to Pricing Based on the Prices Charged by Competitors