Leupold & Stevens,Inc. ,makes Leupold scopes for rifles and has introduced a new scope that has the quality and performance for which Leupold & Stevens is famous at a price much lower than it has ever sold a rifle scope before.The new scope offers several different magnifications and is the only scope in the $200 range that is made in the United States.(All similar scopes are priced much higher. )Which pricing strategy is Leupold & Stevens using to appeal to a larger market?
A)price skimming
B)status quo pricing
C)penetration pricing
D)demand skimming

Question

Quizplus · Accepted Answer

Leupold & Stevens is using penetration pricing by introducing a new scope with a lower price point to appeal to a larger market. This is evident from the statement that the new scope is priced much lower than their previous offerings and similar scopes in the market.