Mach 3 razor blades must be used in the Mach 3 razor.Which type of pricing is most likely used?
A)product line pricing
B)optional-product pricing
C)captive-product pricing
D)by-product pricing
E)allowance pricing

Question

Quizplus · Accepted Answer

Captive-product pricing is the strategy of setting a low price for the main product and charging a higher price for its complementary products, which are necessary for its usage. In this case, the Mach 3 razor is the main product, and the Mach 3 razor blades are complementary products that must be used with it. Therefore, Procter & Gamble (the manufacturer) is using captive-product pricing to generate demand for both the razor and the blades.

Mach 3 Razor Blades Must Be Used in the Mach