When Laser Technology developed and introduced a high-tech crash investigation system to be used by law enforcement officers,the company determined that demand for the product was inelastic,and there was no existing competition.What should the pricing strategy for the system be?
A)low initial price,rising slightly when entering the growth stage
B)high initial price,falling slightly when entering the growth stage
C)high price,continuing through growth and maturity
D)low price initially,rising constantly through growth and into maturity

Question

Quizplus · Accepted Answer

A high initial price is used when a new product faces little competition,needs to recoup R&D costs,and has inelastic demand.Prices will fall slightly when entering the growth stage.

When Laser Technology Developed and Introduced a High-Tech Crash Investigation