Skimming or early withdrawal strategy may be used when early adopters are willing to pay a high price and demand is price inelastic.

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Skimming or early withdrawal strategy is used when early adopters are willing to pay a high price for the product and demand is price inelastic, meaning that changes in price do not significantly affect demand. This strategy involves setting a high initial price and gradually lowering it over time to attract more price-sensitive consumers.

Skimming or Early Withdrawal Strategy May Be Used When Early