Which of the following companies uses captive product pricing?
A) Photo Genie, which sells inexpensive cameras that run only on their own expensive batteries
B) Go Zone, which launched a range of tablet models, each priced according to its features
C) Penguin's Parlor, which offers customers a 20-percent discount on their birthdays
D) Sportsprint, which prices sports equipment according to customer evaluations
E) Burger Den, whose combo meals are priced lower than its individual components sold together

Question

Quizplus · Accepted Answer

Captive product pricing involves setting a low price for a main product and then pricing its complementary products, such as accessories or batteries, at a higher price. Photo Genie is using captive product pricing by selling inexpensive cameras that can only run on their own expensive batteries.

Which of the Following Companies Uses Captive Product Pricing