For a market penetration-price strategy to succeed, which of the following is LEAST likely to be true?
A) Production costs decrease as sales volume increases.
B) A low price triggers market growth.
C) Distribution costs decrease as sales volume increases.
D) Low prices must inhibit competition from entering the market.
E) The strategy can be changed quickly, to a higher-priced position, with no negative impact.

Question

Quizplus · Accepted Answer

A market penetration-price strategy relies on maintaining low prices to gain market share, and changing to a higher-priced position quickly could negatively impact the established customer base and market perception.

For a Market Penetration-Price Strategy to Succeed, Which of the Following