Pricing that involves setting prices based on competitors' strategies,costs,prices and market offerings is known as ________.
A)competition-based pricing
B)target return pricing
C)fixed cost
D)penetration pricing
E)price skimming

Question

Quizplus · Accepted Answer

Competition-based pricing involves setting prices based on the prices, strategies, and offerings of competitors. This pricing strategy is effective when companies are operating in highly competitive industries and want to remain competitive by offering prices that are similar to those of their competitors. It is not as effective in industries with few competitors or where the focus is on product differentiation or niche markets.

Pricing That Involves Setting Prices Based on Competitors' Strategies,costs,prices and Market