The danger with loss-leader pricing and promotional pricing is that it can hurt the brand's image because consumers will expect to find the brand at the reduced price and will refuse to pay full price for the product.
Correct Answer:
Verified
Q134: While cost-based pricing is consumer driven, demand-based
Q135: A primary drawback to using demand-based pricing
Q136: Firms often use cost-based pricing to establish
Q137: Psychological pricing refers to the strategy of
Q138: In terms of price discounting, quantity discounts
Q140: Product line pricing involves creating different prices
Q141: An advantage to using product line pricing
Q142: Price bundling refers to setting a single
Q143: In geographic pricing, companies must take into
Q144: In addition to geographic pricing, place, time,
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents