Which of the following statements regarding odd-even pricing is most accurate?
A)Odd-even pricing is designed to give the consumer a better set of pricing alternatives.
B)Odd-even pricing can be used in conjunction with a skimming pricing strategy,but should not be used with a penetration pricing strategy.
C)Odd-even pricing does not work if the product is health care-related.
D)Overuse of odd-ending prices tends to mute its effect on demand.
E)Odd-ending prices are best used with large ticket items;it loses its effectiveness with moderate- to low-ticket items.

Question

Quizplus · Accepted Answer

Odd-even pricing involves setting a price a few dollars or cents under an even number.For example,customers see an item priced at $4.99 as "something over $4.00" rather than "about $5.00." Customers' perception of price is the influential factor.Research suggests that overuse of odd-even prices tends to mute its effect on demand.

Which of the Following Statements Regarding Odd-Even Pricing Is Most